After the successful launch of Falcon Heavy, SpaceX gained credibility as the owner of the world’s most powerful commercial rocket. Founded with the mission to make space travel more affordable and attainable, Elon Musk and his team are dominating the market.
At the heart of Musk’s creation is the concept that cost drives every decision made, for a private company cannot act with the expendable budget of the United States’ government credit card. What is the result of that business model? SpaceX has spent less money in the 16 years since its founding than the National Aeronautics and Space Administration (NASA) spent building the Space Shuttle Challenger.
{mosads}At $150 million a launch, SpaceX is able to operate $250 million cheaper than the closest private-sector competition, and NASA costs are even higher. The average cost to launch a NASA shuttle is $450 million a mission.
So what does all of this mean? When private companies are left to succeed on their own merits, new products, services, and ideas are developed at the best quality for the lowest price.
This trend is not unique to space travel. A free and open market has always been the most successful method of fueling innovation and growth.
The United States continues to have the strongest economy in the world, and that strength is derived from the free market.
A free-market system created the automobile, air travel, and the iPhone. The best way for the government to support future discoveries is to limit the tax burden impairing entrepreneurs and impeding growth.
One recent example is the Tax Cuts and Jobs Act, which is designed to empower job creators. By slashing taxes for both corporations and small businesses, a path was cleared for entrepreneurs to capitalize on their skills. And with less money being forced from the hands of business owners by the Internal Revenue Service, more resources remain for job creators to invest in their business, which is also an investment in the overall economy.
Citing the tax gift, Apple not only plans to issue bonus checks, but the tech giant is now working to build a new campus, creating over 20,000 jobs and opening the door to countless new discoveries. In less than two months, the tax bill has already positively impacted over 3.5 million Americans, many of whom work for small businesses on Main Street America. The federal government needs to keep doing everything in its power to support small business owners.
Each year, billions of dollars of waste are discovered in the federal budget. The key to growing American competitiveness is by promoting new ideas, not limiting individuals with government restrictions.
SpaceX began with an idea: Space travel does not need to come at an unbearable cost. And it has transformed into one of the most admired companies of this century. In a free-market system, small businesses can also dream big and reach for the stars.
Bill Johnson is the current representative for the sixth district of Ohio.