4 ms·

One big answer to the unbridled graft in public-private partnerships is to nationalize such services and run them as public enterprises.

ch4s3 8y ago
Well, that solves one kind of graft and opens the door to another. The history of Petrobras is a great example of the kind of corruption that can happen in state run enterprises. Chinese SOEs are another example. Transparency, audits, and open procurement processes are probably more useful at fighting graft than nationalization.
djrogers 8y ago
True, but that results in other problems - lack of accountabbility and control. Perfect example is the VA. I think the ultimate solution is to simplify access to, and limit govnerment control of, all entitlement programs. The ultimate expression of that would be UBI - I'd even be in favor of a means-tested phase-out of the UBI. After that's done, all we gotta do is fix the tax code...
- azinman2 8y ago
  How is that a solution for, say, telecom? Or space travel? (Not touching the other GOP hot topics here...)
- adamsea 8y ago
  According to Merriam-Webster, 'entitlement' can mean: 1: a : the state or condition of being entitled : right b : a right to benefits specified especially by law or contract 2 : belief that one is deserving of or entitled to certain privileges 3 : a government program providing benefits to members of a specified group; also : funds supporting or distributed by such a program https://www.merriam-webster.com/dictionary/entitlement https://www.merriam-webster.com/dictionary/entitlement
- AnthonyMouse 8y ago
  > I'd even be in favor of a means-tested phase-out of the UBI. This is a bad idea. A phase-out is indistinguishable from a tax in the same amount, but it harder to reason about and consequently tends to be implemented incoherently. Suppose you have $10,000 basic income with a 20% phase-out rate and a progressive income tax with a 15% tax rate up to $50,000 and 25% thereafter. Then what you really have is a $10,000 UBI and an income tax of 35% up to $50,000 and 25% thereafter. Probably not what you wanted, right? Much better to have a $10,000 UBI with no phase out and a flat 30% tax rate. Which has the added benefit of vastly simplifying the tax system -- no need for multiple rates and all the complexity and opportunities for tax avoidance that go with them.
  - djrogers 8y ago
    Your phase-out and progressive taxation numbers don't work out for any logical application of the concept. A means-tested pahse-out of a UBI in a progressive tax scheme would reduce the UBI for earners only in the highest tax bracket, thus further increasing their tax rate. I would prefer a flat tax, with the UBI acting as the progressive mechanism while also being phased-out for high earners. Your assumptions in your response are really bizzarre...

ch4s3 8y ago

Well, that solves one kind of graft and opens the door to another. The history of Petrobras is a great example of the kind of corruption that can happen in state run enterprises. Chinese SOEs are another example. Transparency, audits, and open procurement processes are probably more useful at fighting graft than nationalization.

djrogers 8y ago

True, but that results in other problems - lack of accountabbility and control. Perfect example is the VA. I think the ultimate solution is to simplify access to, and limit govnerment control of, all entitlement programs. The ultimate expression of that would be UBI - I'd even be in favor of a means-tested phase-out of the UBI. After that's done, all we gotta do is fix the tax code...

azinman2 8y ago
How is that a solution for, say, telecom? Or space travel? (Not touching the other GOP hot topics here...)
adamsea 8y ago
According to Merriam-Webster, 'entitlement' can mean: 1: a : the state or condition of being entitled : right b : a right to benefits specified especially by law or contract 2 : belief that one is deserving of or entitled to certain privileges 3 : a government program providing benefits to members of a specified group; also : funds supporting or distributed by such a program https://www.merriam-webster.com/dictionary/entitlement https://www.merriam-webster.com/dictionary/entitlement
AnthonyMouse 8y ago
> I'd even be in favor of a means-tested phase-out of the UBI. This is a bad idea. A phase-out is indistinguishable from a tax in the same amount, but it harder to reason about and consequently tends to be implemented incoherently. Suppose you have $10,000 basic income with a 20% phase-out rate and a progressive income tax with a 15% tax rate up to $50,000 and 25% thereafter. Then what you really have is a $10,000 UBI and an income tax of 35% up to $50,000 and 25% thereafter. Probably not what you wanted, right? Much better to have a $10,000 UBI with no phase out and a flat 30% tax rate. Which has the added benefit of vastly simplifying the tax system -- no need for multiple rates and all the complexity and opportunities for tax avoidance that go with them.
- djrogers 8y ago
  Your phase-out and progressive taxation numbers don't work out for any logical application of the concept. A means-tested pahse-out of a UBI in a progressive tax scheme would reduce the UBI for earners only in the highest tax bracket, thus further increasing their tax rate. I would prefer a flat tax, with the UBI acting as the progressive mechanism while also being phased-out for high earners. Your assumptions in your response are really bizzarre...