> A state, on the other hand, will redirect those resources towards social good. A state is also an abstract entity. Composed of people with a range of incenti

> A state, on the other hand, will redirect those resources towards social good. A state is also an abstract entity. Composed of people with a range of incentives based on their positions. Elected representatives offer us a fine view into what economists call "The Agency Problem" [0][1] Pournelle's "Iron Law of Bureaucracy" states that in any bureaucratic organization there will be two kinds of people: First, there will be those who are devoted to the goals of the organization. Examples are dedicated classroom teachers in an educational bureaucracy, many of the engineers and launch technicians and scientists at NASA, even some agricultural scientists, and advisors in the former Soviet Union collective farming administration. Secondly, there will be those dedicated to the organization itself. Examples are many of the administrators in the education system, many professors of education, many teachers union officials, much of the NASA headquarters staff, etc. The Iron Law states that in every case the second group will gain and keep control of the organization. It will write the rules, and control promotions within the organization. In both cases, the "state" is less benign than what one might suppose. But, because we are all (mostly) taught by agents of the state from childhood - this is never really brought to our attention during our early indoctrination process. [0]: http://www.investopedia.com/terms/a/agencyproblem.asp http://www.investopedia.com/terms/a/agencyproblem.asp [1]: https://en.wikipedia.org/wiki/Principal%E2%80%93agent_problem https://en.wikipedia.org/wiki/Principal%E2%80%93agent_proble...