@Chewybunny
That's fair. I'll do my own rebuttal on the push-back:
1 & 2) That's more of a claim, and countries like Korea and Taiwan have shown being capable of developing with their model. It's not the ideal, but it's a counter to the claim that all government efforts are wasteful.
Social: As Adam Smith said, one of the reasons why public goods are subject to the government and to the populace is that it's design is a public service, not to generate revenue. One that generates revenue in the end actually impoverishes a society, so it's a net-loss.
Instead of worse outcomes for consumers, I should have said worse outcomes for citizens. Not to mention, you yourself have said on the issues of private charities and inadequate public schools. Privatization seems to sap services and doesn't replace them.
I've even had an argument with someone that said that the private sectors shouldn't be interested in public welfare, and they had a point. Issues is however, that neglected social issues tends to eventually topple societies, it's a lesson that somehow must be re-learned.
Defense: What do you mean by this? The Military-industrial complex? Mercenaries? I don't think they're a good example, as the mix has shown to cause conflicts of interest which leads to atrocities than pure citizen armies. Than again, those aren't really possible and were still subject to atrocities. It's a thorny issue…
Mercenary armies like the one of the Italian city-states? Those were disastrous.
Infrastructure: I'll sort of repeat what was said in social, but the US's infrastructure is crumbling, from what I've in comparison to every other developed country I visited. Now there's the argument to be made that it's public neglect, but countries which have a public department on this with funding don't have the issue in the same extent (I'm not saying it's perfect, but the US seems to have gone through outright neglect).The laying of fiber optic cables in Australia has been a disaster as well, so it's not unique to the US, I've read of too many private publics contracted on behalf of the government being bungled.
Privatization of public goods can even be considered theft and has caused a skyrocketing of ticket prices and lowered services to what is necessary. I think of the UK's trains, but I've heard there were similar issues for other nations.
3) I think with the multiple failures of the Washington consensus, it's not true on a macro level, and the orthodoxy of the Neo-liberal school has squandered a lot of the influence the US had after the Cold War. Monopolies have been disastrous for societies, as seen with banana republics.
In the micro level, I mentioned smart cities, because individual led projects that fail have the same weakness as autocratic governments ironically enough, in that there's no accountability, just one's ego. From what I've seen from the work and sometimes dealing with the private and public sector, the idea of one or the other being more efficient is a myth.
Now, the threat of a private company being broken up, competed out of business or judicially prosecuted, and the threat of governments being superseded or being so economically inefficient that they fall behind other countries and both being subject to new technologies.
Entities being subject to constraints and competition, a form of 'creative destruction' as said by Schumpeter, that's what makes entities efficient and is necessary.
4) It should be noted that private sector doesn't mean streamlined. Remember when I mentioned rent-seeking behavior? A host of smaller private interests to balloon costs for their own cut is exactly how private sector can become inefficient.
I'm not advocating for state control like communism, I wouldn't say I'm even a statist, I'm just saying that the healthcare issues seems incredibly complex, but I think that making it purely private wouldn't solve the issue and instead just continuing the current status quo. It's a sort of economic 'fundamentalism' that I've actually sort of had to face in the opposite direction when meeting communists.
I do agree however that it seems to be an issue of mentality and existing players and incentive system, and that's way more complicated. I'll try to make another reply after reading more on the healthcare in the US.