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vasco | on: Austin’s surge of new housing construction drove down rents
Do you have example of another area the government has higher profit margins than private industry? I can't. And if I was going to think a government would build housing, it would be in places that are cheap and I could mass house a bunch of people, not in hip expensive cities which is what people want when they talk about this.

But surely soviet style huge blocks of tiny t0 apartments all stuck together is a dream...

wongarsu | parent | next
> Do you have example of another area the government has higher profit margins than private industry?

Public transit. Capturing enough money from fares is difficult, maybe impossible, but it's quite profitable if you can capture the value generated by the enabled economic activity and raised property values.

The same really goes for most infrastructure. There's a reason the government operates nearly all the roads. Also the fire departments and police stations

raybb | root | parent | next
Likely the same for public schools and maybe universities. Having educated folks in your city increases productivity and revenues and incomes.
vasco | root | parent
Yes and that reason is not because they are better at doing it profitably it's because they are commons that are wildly unprofitable to do well. If you let private industry build roads you'd have nice roads in cities and dirt in the rest of the country.

In this case what people want is the reverse. They want the government to build in Austin.

The government should be involved when market forces won't solve an issue, ie no market will make it profitable to send an ambulance to a town 3h away in the mountains. You don't need affordable housing in the center of Austin just because it's trendy though.

hnaccount_rng | parent | next
Isn't the US example: Medicare/Medicaid? It has far less costs (i.e. more of the money spend ends up with patient care) and has a reasonably good reputation?
neom | parent
https://en.wikipedia.org/wiki/Government_Pension_Fund_of_Nor...
vasco | root | parent
This is a government literally putting their money in private companies instead of using it themselves (for idk schools or infrastructure for their people instead of giving it to nvidia and tesla). It's the most literal illustration of "private" beats "public" investment. Not sure what point you tried to make.