[lone_haxx0r]

You're right, at least in the case of highly regulated markets and when the state creates artificial monopolies (e.g. electricity).

I'll correct my original comment then:

At least private companies that compete in a relatively free market are losing their own earned money when they're inefficient, not someone else's.

[lazyasciiart]

That claim assumes a free market with perfect information, which is more than even Adam Smith was willing to do.

[TheSpiceIsLife]

It’s still not right.

Private companies are losing money on behalf of their owners or shareholders.

[lone_haxx0r]

You could say that the owners/shareholders are losing it themselves, because they voluntarily invested in the company, as opposed to the state, which takes your money even if you don't want it to.

[moate]

I think most VCs would have some thoughts on the idea that a start up they just pumped millions into has lost "the start-ups money" in some stupid experiment and not theirs.

[leetcrew]

a key difference is that the largest shareholders are proportionally affected by the waste, and have a proportionately large amount of power to do something about it.