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.