Simply put, the entire problem stems from the size of government:
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I do not agree.
IMO Simply put it comes from the dishonesty and criminal conspiracy among politicians to enrich themselves and entrench themselves in office by giving out contracts to people who buy those contracts with Campaign contributions.
You scratch my back and I will scratch yours.
Politicians will be politicians. Which is to say, the more opportunities to enrich themselves you make available to them, the more venal they will be.
Making government smaller necessarily reduces the power and influence of government -- which in turn reduces the opportunities for politicians to employ their power and influence in the interest of their own pocketbook.
I.e., Smaller Government equals More Honest Government. Plus, given fewer opportunities to cheat, it's easier to police the bastards.