Re [lbo-talk] Say it ain't so, Max

[Christian Gregory]

But Max, you cited Augusta as an example on the grounds that they saved $3 million. Did you see how they saved that money? In most cases the cost savings in such cases are accomplished through either (a) not doing the same amount and/or kind of work, and counting that as "savings," and/or (b) heavily discounting future capital expenditures (if they are counted at all), or ignoring the fact that the tax break on municipal debt is a cash savings passed on to the private firms, etc. In both cases, you're comparing apples and oranges.

Can you give an example where distribution isn't affected by privatization? Isn't the whole point of privatization that it's more "economically efficient" to allow the better service goes to those who can pay for it, while crappy service goes to those who can't pay or make their presence politically felt?

Christian