Thread by @AaronBastani

Can capitalism solve its crises?

Is innovation possible without the public sector?

Why can’t politicians solve basic problems?

And what’s wrong with shareholder value?

Was great to speak to @MazzucatoM about her new book ‘Mission Economy’.

Some great facts and stats from the book:

1) In the UK 10% of all UK bank lending helps non-financial firms, the rest supports real estate and financial assets.

Not good!

2) In 2019 fossil fuel companies in the US received a subsidy of around $20 billion.

In the EU that figure was 55 billion Euros!

3) Of covid recovery funding handed out by G20 governments to energy companies 56% (!) has gone to fossil fuel projects.

4) Between 1980 and 1996 the UK accounted for 40% of all privatised assets across the OECD.

This country was an ideological petri dish - for a now failing ideology!

5) Since 1998 around 700 projects have been financed through PFI in the UK. Their capital value was around £60 billion.

Yet they will have cost a cumulative £310 billion by 2047-8!

This is apparently 'moderate', 'prudent' economics...

6) In 2011 the UK government 'basically gave up' on an NHS IT system after spending £10 billion on it. £10 billion!

Poor procurement, recently described as 'cronyism', has been overseen by both main parties.

7) One study found costs for public administration in the UK had risen by 40% in real terms between 1985 and 2015. Over the same period the civil service was cut by a third and public spending doubled. Outsourced operations saw costs rise FASTEST.

8) When Britain began to leave the EU the 'Big 4' consultancy firms saw profits rise by 20%.

Government spending on these companies rose from £77 million to £464 million between 2018 and 2019.

Brexit was meant to save money! 😂

9) An analysis of 120 NHS trusts between 2010 and 2014 found spending more on management consultants led to a significant RISE in inefficiencies. Meanwhile patient outcomes didn't improve.

10) Great NASA anecdote. A janitor is asked by Kennedy at the space center what he is doing. His reply? "Well, Mr President, I'm putting a man on the moon".

That's a public service ethos - and it's also correct.

11) The average age in the mission control room for first moon landing was 26. NASA as a government agency wasn't a boring place to work - it was the most exciting place to work.

Make being a young adult great again - and let's do the same for tackling climate change!

12) At the Apollo Programme's peak MIT was buying 60 per cent of all chips manufactured in the USA.

That's how major government projects bring down costs through accelerating the 'experience curve' - we now need same with wind turbines, solar panels and a green new deal.

13) Also learned about this lady, Katherine Johnson.

She was an African-American mathematician who specialised in orbital mechanics with NASA. Amid the struggle for civil rights she was a quiet emblem for a different kind of America ✊🏽

14) In today's money the Apollo Programme cost around 10% of the wars in Iraq and Afghanistan. The spillover effects, from photovoltaic cells to computing are still being felt today.

We need more mission-oriented public policy - on climate, inequality and ageing - and less war.

There is a great deal more but I won't tweet all of it. I really encourage people to read Mariana's book. It's pithy & jam-packed with clear evidence of what is wrong with modern public policy - and how we *could* be doing so much better.

Buy it after watching the interview 😀