Growing Inefficiencies in Government

Governments in the rich world are becoming larger yet less effective, posing a significant paradox in public administration. As these entities expand, they account for approximately 40% of GDP, a noticeable increase from about 30% in the 1960s. However, this growth in size has not translated into improved efficiency in service delivery, exemplified by infrastructure spending in the U.S. declining despite previous promises for enhancement, alongside the struggles of the U.K.'s National Health Service to show any meaningful improvement. These inefficiencies stem from a shift in government spending priorities, with significantly more resources now allocated to entitlement programs rather than essential public services, leading to a system unable to effectively deliver on its promises.