Privatization

[allhatnocattle.livejournal.com]

http://hotdogfactory.blogspot.com/2012/01/is-stephen-harper-going-to-sell-jasper.html

There is a rumour being passed around via email and facebook saying PM Harper is planning to privatize Jasper National Park (5 hr drive from here) with considerable uproar. Would you Libertarians in this community really support private enterprise to run your national parks?

You Libertarians say you want smaller government. Government is inefficient and untrustworthy. So how far would you allow private corporations to rule your country? Would you sell off your Park Systems? What about environment controls? The Post Office? The Military? The CIA and Secret Service to be put on tender for the highest bidder? Or how about the Senate? Screw elections how about whomever raises the most cash simply wins their seat in the House of Representatives and Whitehouse? Why or why not?

Comments

[mahnmut.livejournal.com]

Well, some might not have a chance actually. For example, Niall Ferguson keeps insisting that there's another way of addressing (and paying off) enormous public debt (he prescribes this for Greece in particular, but the US too): privatization of infrastructure and other things, I suspect including national parks, too.

That approach, of course, fails to explain how would the system be reformed in any way, to prevent further indebtedness. So what would happen is paying that debt one time, privatizing a lot of stuff, and then the system piling a new debt again. He's healing the symptoms, not the disease.

Back to square one, then?

[allhatnocattle.livejournal.com]

Obviously, selling off something (or a bunch of things) is an opportunity to make a quick buck. Especially if it is something you paid very little for and/or built up over a extended period of time. Hopefully you sell at a profit, rather then a loss.

Fast money from selling assets is a one time opportunity. Once sold it's gone... unless they get into the business of consistently buying low and selling high.

But here's the thing, the government is a large multi-faceted business. Some of it's assets may not be realizing their full potential (maximizing profits) or may even be operated at a net loss. The government is so large it's easy for it's assets to get lost and hidden in this massive bureaucracy. Trimming the fat can only make it leaner; able to concentrate on the main business of governing.

On the other hand if the government isn't raking in profits from it's assets, it has to turn to other means of revenue like taxation.