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tirant 14 days ago

The wealthy are likely paying more taxes than anyone else in absolute terms.

But more taxes alone won’t fix the problems outlined in the article—namely, the misaligned incentives across different branches of the State and the shockingly low return on each pound spent. That inefficiency is probably also a symptom of poor alignment among the individuals involved in procurement, as well as broader societal incentives.

Over the past few decades, States have grown so large that the original incentive structures they were built on are now being challenged by competing incentives emerging from individuals and various sub-organizations within the State itself.

These kinds of conflicts are far less common in the private sector. There, the company’s goal—profit—is usually well aligned with the customer’s goal—getting the best product at the lowest price. And that alignment tends to cascade through every level of management, all the way down to the last employee.