Chapters 4-7 Summary and Analysis

After reading the last chapter, it seems as if the government is a wonderful thing, yet this is not always the case. Just look at Cuba and North Korea for examples of government-intensive countries that are not well off. There are times when a government will regulate economy into ruin.

One big problem is the concept of monopoly. There is no point in working hard to offer high-quality service when there are no competitors. According to the author, there are 2 lessons to be learned from the monopoly situation. Government shouldn't provide any service that could be covered by the private sector, and the government shouldn't actually do the work of maintaining infrastructure.

In a private sector, the markets provide resources. In 1992, Bill Clinton discussed Hope Scholarships. This was a plan wherein students could borrow money for college and pay...