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Mon, 4 Aug 2003 08:54:32 -0400 |
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Nicholas has made the points that I was going to make summarized thusly: If two parties perform the same function and they have
equal overhead to support that function and all of the un-necessary bells and whistles are removed, then there is no differential in
overall cost and thus no savings.
The choices that relate to any savings could be: reduced labor costs, reduced insurances, reduced performance, or reduced contract
specifications. Offsetting savings would be the cost of revising contract specifications.
In the big picture, privatization is a mirror game having the appearance of savings but producing no savings at all.
There is no such thing as a "free lunch".
Just how far can you "cost reduce" something without losing the essence of that "something?
Regards,
Jim Moss, Conservator
in Private Practice
PS: BTW, as a new member of this list I am enjoying the on-going philosophical discussion just as much as a discussion about "nuts"
and "bolts"! I believe that both are equally important.
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