Why Running the Government Like a Business is a Sophomoric and Infantile Idea: The Real-World Dangers of Simplistic Thinking
Introduction to the Flawed Analogy
“Why can’t the government be run like a business?”
This refrain, repeated across political campaigns and cable news, is tempting in its simplicity. Yet, the suggestion that government can, or should, function as a for-profit corporation is not just naïve, but deeply misleading. This notion is not just bad policy; it betrays a fundamental misunderstanding of democracy, public service, and the complexity of governing diverse societies. It is, in every sense, a sophomoric and infantile way to approach the most serious collective endeavor we share: self-government.
The Fundamental Differences Between Government and Business
The Purpose of Government vs. Business
Businesses exist to generate profit, create value for shareholders, and expand their market share. In contrast, governments are designed to serve the public good, guarantee rights, and provide services no private company can profitably or equitably deliver. This is not just an academic difference; it’s foundational to why governments exist at all.
Accountability to Citizens vs. Shareholders
A business answers to owners and investors, measuring success by quarterly earnings. Elected governments are accountable to all citizens, including those who can’t pay or participate in markets; children, the elderly, the sick, the marginalized. Their “success” is measured by quality of life, justice, equity, and the ability to safeguard the public interest.
Measuring Success: Service vs. Profit
If government service is reduced to a bottom-line calculation, the weakest inevitably lose. Public education, clean air, safety nets, and roads are not profit centers, but essential services that bind societies together. The true “ROI” of government is not dollars earned, but communities strengthened and crises averted.
The Myth of “Efficiency” in Public Service
What Efficiency Means in Business
Efficiency in business usually means lowering costs and maximizing output for the greatest profit. Reducing waste and streamlining operations are good things, but only if they do not harm customers or society at large.
Why Government Efficiency is Different
Government “efficiency” cannot be about maximizing profit, but about delivering necessary services to everyone, even when not profitable. Cutting corners or “trimming fat” in the public sector too often means slashing essential services, weakening oversight, and abandoning the most vulnerable. Some redundancy, deliberation, and oversight are necessary to prevent abuse, protect rights, and ensure fairness.
Public Good and Collective Responsibility
Safety Nets and Social Services
Businesses do not, and cannot, provide social insurance, protect the environment, or defend the country. Social services like Medicare, Social Security, and unemployment insurance exist precisely because markets leave many behind. These are not luxuries, but vital protections for all.
National Defense and Public Health
No business could, nor should, run the military or manage a pandemic response for profit. These are collective responsibilities, requiring coordination, long-term planning, and a willingness to put people above profits.
The Dangers of Profit Motives in Governance
Privatization Pitfalls
When government functions are privatized, the focus shifts from service to profit. This often leads to higher costs for consumers, reduced service quality, and a lack of public accountability. In areas like prisons, health care, and infrastructure, the drive for profit directly conflicts with the public interest. We see this time and again.
Inequity and Exclusion
A government run like a business risks leaving millions without access to vital services simply because they are “unprofitable.” This increases inequality and weakens the social fabric that holds nations together.
Real-World Consequences: The Trump Administration’s Business Approach
The Trump administration embraced the “run it like a business” mantra with enthusiasm, and the results have been both predictable and disastrous for many Americans.
Deregulation and Environmental Harm
By prioritizing short-term economic gains over environmental stewardship, the administration rolled back critical protections, leading to increased pollution and threats to public health. Environmental policy became a matter of cutting “costs,” with little regard for long-term consequences.
Cronyism, Corruption, and the Erosion of Trust
Running government like a business, especially the kind of business where personal loyalty and profit reign, fosters an environment ripe for cronyism and corruption. Agencies are run by industry insiders with conflicts of interest, eroding public trust and undermining the very institutions meant to protect the people.
The Erosion of Expertise and Competence
In the business model, “outsiders” are prized for “shaking things up,” but government requires expertise, continuity, and institutional memory. The Trump administration’s frequent turnover and disdain for career professionals have led to dysfunction and unpreparedness, especially during crises like the COVID-19 pandemic.
International Ramifications and Global Standing
Diplomacy vs. Deals
Diplomacy is not a zero-sum game or a simple transaction. The Trump administration’s transactional approach, treating allies and adversaries as business partners, undermines longstanding relationships and continues to weaken America’s global standing.
Global Cooperation Undermined
Issues like climate change, pandemics, and international security demand sustained cooperation, not cutthroat competition. The business mentality failed to appreciate the interdependence of nations and the need for collective solutions.
Complexity and Nuance: Why Government is Not a Corporation
Serving All, Not Just the Few
Government is tasked with serving the whole population, including those who have no power or influence. In contrast, businesses can select their customers, limit risk, and walk away from unprofitable ventures.
Checks, Balances, and Democratic Deliberation
Democratic governance is intentionally slow and deliberative to safeguard against rash decisions and abuse of power. This is not inefficiency, but a necessary feature that protects rights and ensures broad participation.
The Infantilization of Civic Discourse
The Appeal of Simplistic Solutions
The call to run government like a business appeals to those frustrated with bureaucracy and complexity. But this is the logic of the child who wants dessert for dinner; shortsighted, emotionally satisfying, but ultimately destructive.
The Cost to Democratic Values
Reducing government to business terms strips away the values of empathy, justice, and community. It shrinks our shared imagination of what we can do together, and replaces it with the narrow logic of the marketplace.
Case Studies: When “Business Mentality” Failed the Public
Disaster Response and Infrastructure
When hurricane recovery or infrastructure is left to the whims of private contractors, profits come first, corners get cut, and the public suffers. Recent disasters have shown the cost of treating public needs as commodities.
Health Care as a Commodity
Attempts to fully privatize health care, focusing on profit over access, have led to skyrocketing costs and millions left uninsured. Health is not a commodity, and treating it as such creates preventable suffering.
The Role of Empathy, Justice, and Inclusion in Government
Protecting the Vulnerable
Good government is measured by how it treats its weakest members. Profit-driven models ignore those with the least ability to pay or advocate for themselves.
Equal Opportunity and Rights
Governments are obligated to guarantee rights and opportunities to all, regardless of their market value. This is not just noble, it’s necessary for a healthy democracy.
Reclaiming the True Purpose of Government
Government as Steward and Servant
At its best, government is the steward of our shared resources and the servant of the people. Its legitimacy rests not on profit, but on trust, inclusion, and the capacity to serve the common good.
Restoring Public Trust
Moving away from the business metaphor is critical to restoring faith in democracy. We must reject simplistic analogies and embrace the full complexity and promise of self-government.
Frequently Asked Questions
Q1: Why is running the government like a business considered problematic?
A: It overlooks the fundamental purpose of government, which is to serve everyone, not just those who are profitable. This approach ignores nuance, complexity, and the need for public accountability.
Q2: Has any country successfully run its government like a business?
A: No. Attempts to fully apply business logic to governance have consistently failed, leading to increased inequality, reduced services, and public disillusionment.
Q3: Didn’t Trump’s business approach make government more efficient?
A: The record shows otherwise. Under Trump, government dysfunction increased, public services suffered, and cronyism flourished, demonstrating the limits of the business mentality in governance.
Q4: Isn’t some business thinking useful in government?
A: Basic efficiency and good management practices are helpful, but the government’s core mission and constraints are fundamentally different from business.
Q5: What are the dangers of privatizing government services?
A: Privatization can lead to higher costs, reduced accountability, and a focus on profit over public need, which often harms the most vulnerable citizens.
Q6: How can we ensure government works better for the people?
A: By valuing expertise, prioritizing the public good, maintaining strong oversight, and involving citizens in decision-making—not by chasing profits.
Government by the People, for the People
The persistent myth that government should be run like a business is not just misguided, it is childish, reckless, and dangerous. Our challenges demand more than simplistic analogies or boardroom bravado. Democracy is about empathy, complexity, and the collective pursuit of justice and well-being. The Trump administration’s experiment in business-style governance has only made this clearer, at great cost to the nation and the world.
True progress requires that we treat government with the seriousness, nuance, and wisdom it demands, because it belongs to all of us, not just the bottom line.