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This is true, however, you're forgetting an important factor... Value.Private Sector Scenario: Company A wins a contract to build a bridge and new sections of road on either side. This increases the value of company A. Company B supplies company A with the materials it uses for construction, that same contract increases the value of company B. Both companies are now more attractive to investors, value has been added to the economy.Public Sector Scenario: Company A and company B pay taxes that help to fund the same public works project. Neither business is seen as having gone up in value, and therefore, no value has been added to the economy.The private sector is perfectly capable of building highways, bridges, and dams. As for the military, I believe government could become very efficient at protecting our rights if we limited it's role to doing just that and nothing else.
This is true, however, you're forgetting an important factor... Value.
Private Sector Scenario: Company A wins a contract to build a bridge and new sections of road on either side. This increases the value of company A. Company B supplies company A with the materials it uses for construction, that same contract increases the value of company B. Both companies are now more attractive to investors, value has been added to the economy.
Public Sector Scenario: Company A and company B pay taxes that help to fund the same public works project. Neither business is seen as having gone up in value, and therefore, no value has been added to the economy.
The private sector is perfectly capable of building highways, bridges, and dams. As for the military, I believe government could become very efficient at protecting our rights if we limited it's role to doing just that and nothing else.