The Big Difference

One of the inherent flaws in government is embodied in the idea that "power corrupts, and absolute power corrupts absolutely". That is why I am convinced that our founders were brilliant men: they enshrined checks and balances and separation of powers into our Constitution so that parts of the government would reign down on others when they get out of control. Nevertheless, the fundamental flaw in all government is that it is the ultimate arbiter, since it is the only entity in the world which can legitimately use force. If you don't pay your taxes you go to jail; if your business is corrupt they will shut it down; break the law they will put you in handcuffs.

The problem is this doesn't always apply to government itself.

Today word came out that the Pentagon "accidentally" sold goods (including parts for missiles) to Iran. Some middlemen bought the parts for alleged non-military use only to turn around and send them to Iran. Two things went wrong in the government, so far as I can tell: 1) There was plenty of evidence that the people buying these surplus parts were not on the up-and-up (one of them was even convicted on arms-smuggling charges then released only to be allowed to buy more surplus army items); and 2) The Pentagon is selling parts for F-14s, which it is retiring--the only other country in the world flying F-14s is...yup...Iran.The question is this: let's say, hypothetically, that the company that made the F-14 was selling surplus parts, and let's say they did not do their homework on the prospective buyers. How would the government react? My suspicion is the company would be shut down/raided/have its leaders put on trial, or at the very least would be heavily fined.

We will see what happens in this case. I hope I'm wrong, but what likely will happen is Congress' investigative arm will "thoroughly examine the matter", scold the Pentagon in the court of public opinion, and some rules will be changed. That will be about it. The Pentagon can't even be fined since it's not their money. Even if they could be, what would it matter? It's not their money to give away.

Businesses do not always do what is right, but when they do wrong the government is there to crack down on them. When government does wrong there is no one else there. With all due respect the 535 members of Congress are ill-equipped to serve as a proper check to the government bureaucrats who number in the 10s--if not 100s--of thousands. Providing services (even those like auctions) should be the job of those outside the government, and it should be the government's job to make sure the job is done right. That is the ultimate check-and-balance.