I think you don't get it. Companies are just groupings of people to achieve certain goals, just like a government. Sure, they aren't identical, but one would have to be rather foolish, such as you are in your post above, to fail to realize that the differences aren't that significant.
You missed to provide what you understand to be a company. For example, a government is a group of people that ... [see my previous comment], and a company (corporation, firm, ...) is a legal entity (not necessarily group of people) that exists to generate profit.
Sure they are both have people behind them at some point, and those are made of atoms, but that doesn't imply that we can (or at least should) apply company metrics to governments.
The government has a budget just like a company. It has very similar limits though being generally more power, the limits of a government can be stretched in various ways that a company is unable to do, such as consistently lose money until the heat death of the universe.
The difference (reasons we have them for) is quite essential, which is what I've tried to highlight. The fact that "laws" for the one lead to strange effects (perpetual consistent money loss, like you say) when applied to the other shows that doing this is not meaningful.
However, with people from this mindset having a very strong influence in our society (look at the share of economists and law folks in politics), the idea to run a government like a company has been shoehorned into what nowadays many people see as the default.
Nonsense. There's nothing in the definition of either "competition", "market", or many other economic terms that is somehow solely restricted to "companies". Economics has such a high profile in politics because at some point you need to prioritize and pay for what you do and what you want. That process of allocating resources to match desires is the heart of economics. It's something that applies to governments and societies, just as it does to the business.
Again, the notion of economic competition doesn't make sense in a government... for starters, there's only a single entity of it, and it can create monopolies at will (a power agreed on by the population), bend the rules, etc. A government doesn't compete in an economy against the companies because they have completely different goals.
A government can define a market, set the framework and do all the important bits required for the well being of its population. But if it (or rather the people) decides that every house should have access to water, and thus starts a nationwide plumbing project, then the water providing companies that were making money off of water transport up to this point may get trouble meeting their bottom line... they may try and make profit elsewhere. The important bit to note here is that the government didn't outcompete them, because its goal isn't profit, but simply took a measure to improve the quality of life of the people, regardless of market dynamics, "outside" of this part of the market economy.
Sure the government has a budget, but then again, I do too. It also has a shopping list (like I do for groceries, just a bit bigger). Silliness aside, having a spreadsheet with planned proceeds and expenses has little to do with market rules.
Obviously, you can't use more of a resource than you have (with money, keep debts in mind), but efficient allocation of resources (a definition of economics that I like, but it's by far not the full story) per se still has nothing to do with "competition" or a "customer base".
Government should be another tool, just like a market. When it is elevated above that, then it becomes more important than the society it is attached to.
Since the government should be all about the society, it can't become "more important" unless something went wrong (corruption, dictatorship, etc.). Economy on the other hand doesn't care for the society (but that's OK since we make good use of it nonetheless), and a free market doesn't "have" the mission (or even cares) to make sure the population is well taken care of.
Economy should really be a tool of the population, but since that is logistically hard to do, we represent the tool wielders with a capable (:D) representative sample of the population, called government. But nowadays it looks like the government (and by proxy the people) are are being played by economic particular interests.
No one has a market for the sake of having a market. The point of markets is to expedite trade. So that sentence is pointless.
I only wish there weren't so many people claiming that free market is good because of the concept itself and should be applied everywhere.
The problem is voters and ideologues who give away the store every time some shyster promises whatever they want to hear. Free high speed internet installed everywhere in the country? You got my vote!
So the problem is dumb people? Well, it's called democracy, deal with it!
If I were French, the first question I'd be asking is it really worth 20 billion euro to connect all of France via high speed broadband to the internet? Second, could we get the same result for less?
Agree.
If we were in your fantasy "government isn't subject to the laws of economics", then we might as well spend as much as we can, to spread the wealth around. Why spend only a thousand euro for a barely adequate connection, when we could be spending a million euro for a really sweet connection and some hot hardware on the user side? It's just economics.
Hmm, just for clearness: the government is subject to the laws of phyics, but that doesn't mean it's useful to measure the speed of congressmen entering the building, require them to pass a weight measurement every morning and thus predict the "energy they'll have going into that conference". Still, that conference needs a location that can hold the body volume and withstand impulse of arriving members, so "it's just physics".
Both the laws of physics and of economics apply to the government, but still there is no point in using company benchmarks/terminology (or my silly physics example). Many general economic premises sure hold for governments, but the comment I was replying to originally was fairly company-centric, which I think is a highly inadequate model for a government.
But since we're not in fantasy land, we have to remember that money could have been spent for other purposes or not spent at all! Even in the complete absence of any sort of government support, we will still have high speed broadband because that's what customers want and providers provide.
I agree that they have to evaluate whether it's worth it. But as an aside, do you know of any country that has a wide broadband infrastructure not sponsored by the government? And do you really think that everyone (including bad-ROI customers) will have a high speed connection without government involvement?