Saturday, September 22, 2012

Do we want government run like a business?

One of my nephews posted a clip on Facebook last week from The Daily Show’s coverage of the Republican National Convention. In it, the Daily Show decides to streamline America, running government like a business.

Hilarity ensues as Daily Show correspondents confront delegates from states receiving the most federal budget assistance while paying the least in federal taxes. As they tell a delegate from Mississippi who opines the market should decide if an organization succeeds or fails: “Whoa, dead last in per capita income — you are costing the government $20 billion!”

“Suddenly, when actually faced with the numbers, running America like a business didn’t seem like a good idea after all,” deadpans Daily Show correspondent John Oliver. “And it was every state for themselves.”

The final scene pitted Minnesota, Wyoming and Mississippi against each other to “keep their job,” with one of their delegates making the pitch to stay in the union.

This comic theater asks a serious question. Do we really want our government run like a business? Because the goal of business is profit.

As an example, let’s take schools. Our schools were developed to educate our children. Is this goal compatible with making a profit?

I know as a former school board member that schools make business decisions: from which vendor to purchase milk, bread and gasoline or how to cost-effectively air condition a building. But the first and foremost concern is providing the best education for kids. Do we really want to sacrifice that goal for profit?

Do we want to hire the least expensive teachers i.e. the least experienced, less educated teachers and perhaps fewer of them – to ensure a profit? Because that is the choice we’ll make if we run a school like a business.

And that’s one of the problems with some of the new privatized educational models being pushed, such as online schools. In states like Iowa, where school is financed on a per pupil basis, online schools will receive the per pupil amount. But any money they save by cutting expenses will go directly toward their profit. See how that works? From taxpayers’ pockets to private profit – instead of to educating students.

Results for online schooling to date are mixed at best, certainly indicating a need for at least more research. In an article last December titled “Online Schools Score Better on Wall Street than in Classrooms,” Stephanie Saul of the New York Times wrote of the leading online education company, K12 Inc.: “Instead, a portrait emerges of a company that tries to squeeze profits from public school dollars by raising enrollment, increasing teacher workload and lowering standards.”

I’d note the same business model is used plenty of other places. Again, google “Iraq no-bid contracts.” Google Enron. Or, MF Global. Heck, read George W. Bush’s resume, and check out Matt Taibbi’s latest Rolling Stone article titled: “Greed and Debt: The True Story of Mitt Romney and Bain Capital.”

In fact, the last few years have given us one example after another of businesses run into the ground, yet we’re still insisting business operates better than government.

Americans have lost sight of the social compact we make to act in community for the benefit of all – or at least as many as possible. Certain things are too important to be driven by something as mercenary as money.

No comments: