The Economics of Privatization. But there are pitfalls to contracting out many public services.
Contractors claim they can perform public services for less than the cost of doing it in-house.
Sclar noted that governments cannot check the validity of those claims because they often fail to cost-account the service before the work has been outsourced. You begin to understand why you often don't get what you pay for. Recognize that public contracting is different from private contracting. Without tight regulation, money spent in the name of the people is easily diverted to the pockets of public officials or powerbrokers who fashion the contracts, as well as to the contractors themselves, instead of adding value for the citizenry. Remove politics from contracting.