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by MFLoon 2384 days ago
Yea, I don't doubt they would remain closely entangled with the US Government even if we changed the IFF incentive structure. But even so, the present incentive structure is particularly perverse because it's creating a positive feedback loop. The GSA has ~$40 billion yearly revenue because of the profit sharing model, which it is incentivized to continually increase, and the consulting firms don't even need to lobby for bigger contracts, the GSA itself lobbies for them.
1 comments

The article gives short shrift to the reason this was originally put in place: to incentivize the GSA to aggressively outsource the government.

The GSA, like the departments they're serving, are filled by government employees.

Absent an incentive structure, a radical new executive commandment like "Outsource all the things" would get a yawn, papers filed, and absolutely no mass action.

And unlike private industry, I believe performance bonuses aren't really an option for government employees.

The flip side of job security is decreased initiative.