I was not advocating contracting out.  I only mentioned it because Max
suggested difficulties of running a production unit.

On Tue, Dec 11, 2001 at 10:45:32PM -0500, Max B. Sawicky wrote:
> 12/11/01 8:43:48 PM, "William S. Lear" 
> <[EMAIL PROTECTED]> wrote:
> 
> >On Tuesday, December 11, 2001 at 18:04:18 (-
> 0500) Max Sawicky writes:
> >>The Gov would have to organize a competitive 
> bidding system, . . .
> >
> >Why have bidding?  Why not just set up a public 
> company that hires
> >staff to run things.  The "board" would be publicly 
> accountable.>
> 
> mbs:  fine but that's a different animal -- a public 
> enterprise, the same as nationalization.  Perelman 
> was talking about contracting out.
> 
> >Perhaps simply owning the intellectual property 
> of the company and
> >having companies freely use it to produce things 
> (with strings, of
> >course) would be the best.  No need for 
> contracts, competitive bids.
> 
> mbs: the intellectual prop is most appropriate for 
> public ownership.  the commodity-type 
> manufacture lends itself to contracting,
> though even so you need a fairly sophisticated
> arrangement to get the best deal.  All the fuss
> about the vacinnation contracts indicates some of
> the sort of problems that can come up.  Gov wants
> the cheapest price, but in a decreasing cost 
> context this favors the big boys.  Little boys 
> complain, others point out using a sole source
> has other risks, thin market means few bidders
> and questions about whether the lowest costs
> are attained, political interference, etc. etc.
> 
> >play unless you pay us handsome profits"?  This 
> is where a public
> >company (really, industry) would come in handy.
> 
> mbs: agreed.  even pro-privatization types of the 
> more sophisticated sort say the Gov should always 
> reserve part of production to a public entity that 
> can be ramped up if the contractors screw up.
> 
> problem here is in a perceived emergency there 
> isn't time to start up a new govt enterprise, 
> especially in an era when ideology says "if you 
> can find it in the Yellow Pages, you don't need 
> public employees and agencies."  I'm not 
> exaggerating.  This is literally a test used in 
> Washington to evaluate the potential for 
> privatization.  Talk about the Stone Age.
> 
> mbs
> 
> 

-- 
Michael Perelman
Economics Department
California State University
Chico, CA 95929

Tel. 530-898-5321
E-Mail [EMAIL PROTECTED]

Reply via email to