[econjack]

In a nutshell, the gov't is to provide "social overhead capital", or those things that cannot, or will not, be provided by the private sector. This includes things like a standing military, a legal system to protect property rights, and other social goods that are not profitable for the private sector, but deemed necessary by society (e.g., a public road system, an agency to interface with the rest of the world, etc.). Charles Beard's An Economic Interpretation of the Constitution contains the classic discussion of the topic. Clearly, the US gov't oversteps what the founding fathers envisioned for gov't. Indeed, our cov't competes with the private sector, but shouldn't (e.g., SBA).

[Midnitethecat]

Well stated!