I agree that we don’t need a central planning committee.
But if you’ve ever worked with the public, you know there is almost no cultural onus on nontechnical people to properly hire or contract technical people for technical tasks.
So…no: The market isn’t very good at this - yet.
When was the last time the federal/state government failed to collect taxes? Or disburse social services? When did your bank not credit your interest?
This stuff is all contracted or subcontracted to these sorts of companies. You don’t need technical geniuses. You need good enough at the lowest cost.
The IRS getting okay work out of a contractor is not the same as a random food manufacturing or trucking company trying to contract work out.
Consulting companies, especially the largest ones, are known to employ more hacks than competent folks - because they can. (This is the “lowest cost” you mentioned.)
Just read the stories here about the big names.
Succeeding in not being sued - most of the time - doesn’t mean you’re doing good work or good business.