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As for the government working or not working though... if your point is, it works at screwing up... then sure.

Government can theoretically accomplish any one goal, but it's going to screw up a lot of other stuff in the process...

and even then it's not guaranteed to get results... because it might attempt the wrong methods, or in the research case, fund the wrong research.

With so few people deciding where resources are allocated, the chances for mistakes are much higher.