December 23, 2024

THE INFORMED VOTER

Bringing Informed Perspectives to Political Dialogue

RUN THE GOVERNMENT LIKE A BUSINESS?

‘All

think about it Governments at either the local or national level have far more responsibility than any corporation. A business can fail but government must not as a failed state creates an anarchy.

An uninformed voter has minimal understanding of how both operate that allows them to be conflated. Everything that goes wrong for government can and has gone wrong in business. Survival of the fittest doesn’t work for countries. The core values of businesses are not derived from social services. Some will argue that businesses or their models are more efficient. Does that mean we throw out the whole system? Or do we as voters demand that our representatives create efficiency in governing. Running the government, especially in this country will not work, nor has it worked in any other country. Another case of understanding a concept leads to a bad decision at the polls.

Bottom line: Business is totalitarian – our government isn’t

The form of government in the United States was founded on a principle of being “of the people, for the people, by the people”. Diametrically opposed to that principle is the fact that All businesses are formed on a principle of making money to create value for the owners/shareholders. Our government must be equipped to support all its citizen’s needs, without the objective of “making a profit”. On the other hand Business can (and does) neglect the needs of its employees in order to guarantee a profit. (Refer toCompetitive Marketplace, 1969 The Planning – Programming – Bugeting System by Robert McNamara (Managing Government, Goverment Management).

The responsibility of a democratic government is to serve the combined interests of all citizens in an equitable manner.

There is much more to be discussed here to provide a broader understanding of why you can’t run the government like a business. Certainly there are business practices that can create efficiency and accountability if applied to local government. That is a discussion for another day, but for the voters of 2012, is a day late and a dollar short.

The responsibility of a democratic government is to serve the combined interests of all citizens in a equitable manner.

The responsibility of a democratic government is to serve the combined interests of all citizens in a equitable manner. Yes, it should operate efficiently and can if managed by professionals not hampered by patronage, subsidizing business and the self interest of politicians that work against the good of the country. Examples of poor service from pubic employees are often directly related to under funding leading to an inability to attract the best talent and staffing shortages. Business is simple compared to universal governance. A dictatorial business compartmentalizes its product/service to only serve customers who bring profit. A government must serve all, including those who cannot contribute. In today’s environment the idea of a free market and competition is being overturned by the largest businesses buying out their competition rather than improving their competitive posture. A government does not have that luxury and empire building by force is no longer an alternative. There are common management techniques that can work in both governance and business, but no, government cannot be run like a business. In fact, for services needed by all, government can be more efficiently and lower cost as many frictional costs, costs of competition and profit no longer have to be an expense

Humans do not represent a bottom line or buffer for profit

Government represents a diverse popoulation of people, different skill sets, strengths, weakness, income opportunities and sub-cultures. To assume a cookie cutter population and one that can automatically provide solely for oneself while also contributing to the whole is not possible. This falls under the same failed assumption of everyone can and should pass the same exam. However, this has to be weighed against how many can fend for there own economic solvency while contributing to the whole. We cannot survive as a society where fewer are self sufficient and contributing to the whole. But, we cannot just cut out those that are unable to do so. This cannot be a bottom line issue to balance every number every year. A business has to cut out that which drains its profits while increasing that which gains profits. This would imply a government that works only to increase the capable, those with economic opportunity and cut out those who do not have the same cookie cutter capacity. We do need a society consisting of more that can contribute some for the sake of those that have less opportunity for various diverse reasons. We cannot assume that those without capacity are to be buffers for the profitability that is necessary in business. 

Business exist to generate profit

Government provides services to citizens that are of social benefit that are not necessarily profitable. The military springs to mind. This is why Trump wants other countries to pay for our defenses (like the wall) or our bases in other countries, because the military is a cost center and generates no profit. It eats an enormous part of the budget. In any business that’s what you would cut, cost centers. There are many critical government services that are cost centers that can not be made profitable which is the goal of business. They shouldn’t be. http://www.forbes.com/sites/johntharvey/2012/10/05/government-vs-business/#3aa941322685

         Govt & Business are closely-related enterprises. Each should strive for, share & adopt “best practices” and strive for Value as much as possible.

It boils down to Value: If a Business doesn’t provide it to me or for what I care about (as Customer or Investor), I am not interested in its success. Same goes for a Govt. As a Captive Investor/Voting Shareholder (i.E. Taxpayer) I only want a Govt empowered & financed to the extent it provides GOOD Value to me or what I care about…Just like in Business. Whereas in Business, the Gains are mostly measured in Profit/Growth, our Govt. Was designed for the Gains of ensuring Life, Liberty, and Pursuit of Happiness. We should only allow it to grow or confiscate power/resources to the extent it can ensure good value/Gains in these areas…Not one inch/$ further.

 

·         Absolutely it should

It’s like a business of businesses. People work. Bosses should take care of employees (citizens) as long as the employees take care of the business and their job within. Not to be mistaken with socialism and communism. Some jobs do more, and get more because of many different circumstances, like education, experience, etc. 
pretty simple analogy.

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·         The Government should be focused on operating efficiently and without continuing to grow a financial deficit.

The Government is not a business. It is created for the purposes of serving the common good. It provides social services, infrastructure and operational aspects that are necessary to function as a country. That, however, does not mean that it doesn’t need to be operated in an efficient manner. We pay significant taxes in the US (both corporate and personal) and yet our national debt has skyrocketed. Any CEO who’s company was facing declining profits would be fired if the company continued borrowing money as opposed to cutting expenses. We have to realistic when spending money in this country.

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Governments have far more breadth and responsibility than business. A business can fail. A state that fails is anarchy and death. It’s a shallow understanding of how both operate that allows them to be conflated. Everything that goes wrong for government can and has gone wrong in business. Survival of the fittest doesn’t work for countries. You don’t get retirement with businesses. Can efficiency be improved sure. That doesn’t mean throw the baby out with the bath water. A business aims to sell a government aims to govern. Not the same thing. And the reason it hasn’t worked anywhere

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·         Business is totalitarian – our government isn’t

Our government was founded on a principle of being “of the people, for the people, by the people”. All business if formed on a principle of making money to support the owners/shareholders. Diametrically opposed principles. The government must be prepared to support the people’s needs, regardless of whether it will make a profit. Business can (and does) neglect the needs of it’s people in order to guarantee a profit.
The responsibility of a democratic government is to serve the combined interests of all citizens in a equitable manner.

 

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·         Government is the check and balance to Business

First, government does not make a profit. Business measures the value of its decisions by the effect on profit. Government lacks this metric. Secondly, government represents the people. It exists solely to provide the social services and society’s needs which companies do not do for profit. Infrastructure, military, justice systems, financial systems, social support networks, arts, fundamental scientific research are socially needed but are horrendously expensive. While examples such as public water systems or trash removal can be transferred to private sector after government investment, no company could create the initial system. Even after, government oversight is required. At the core Government is the bastion to defend we the people from the ravages and temptations of business to sell us questionable products, to find the cheapest and most expendable labor, to dispose of wastes in the cheapest manner possible.

 

0         The responsibility of a democratic government is to serve the combined interests of all citizens in a equitable manner.

The responsibility of a democratic government is to serve the combined interests of all citizens in a equitable manner. Yes, it should operate efficiently and can if managed by professionals not hampered by patronage, subsidizing business and the self interest of politicians that work against the good of the country. Examples of poor service from pubic employees are often directly related to under funding leading to an inability to attract the best talent and staffing shortages. Business is simple compared to universal governance. A dictatorial business compartmentalizes its product/service to only serve customers who bring profit. A government must serve all, including those who cannot contribute. In today’s environment the idea of a free market and competition is being overturned by the largest businesses buying out their competition rather than improving their competitive posture. A government does not have that luxury and empire building by force is no longer an alternative. There are common management techniques that can work in both governance and business, but no, government cannot be run like a business. In fact, for services needed by all, government can be more efficiently and lower cost as many frictional costs, costs of competition and profit no longer have to be an expense.