Because it’s not actual business taking place. Profit is when you produce more value than you consumed, as evidenced by people being willing to pay your price for the goods or services you’re offering.
Government doesn’t willingly buy things in the same way as a consumer or other private entity. It is compelled to by law, and instead of computing actual value in its purchases it seeks minimum cost for a set level of service.
Money from government contracts is more like a grant than profit.
Oh okay so every government contractor is a non-profit?
Because?
Because it’s not actual business taking place. Profit is when you produce more value than you consumed, as evidenced by people being willing to pay your price for the goods or services you’re offering.
Government doesn’t willingly buy things in the same way as a consumer or other private entity. It is compelled to by law, and instead of computing actual value in its purchases it seeks minimum cost for a set level of service.
That isn’t an explanation on how companies who provide products and services to the government aren’t for profit.
I’ve worked for companies that had government contracts. They are for profit and it isn’t grants.
I don’t know it works in your mind but in the real world you can actually make good money (and profit) with gov. contracts.
It’s wild people are so ignorant to how our economic system works and how our government is entwined in it. Then again,
looks around
no, shit, that actually explains alot.