Breed: Back from newspace 2011.

Something in this post caught my eye:

The NASA cost model says Falcon 9 should cost 4B to develop, it cost 390M.

Ok, the thing is this:  if SpaceX can produce a rocket 10 times cheaper, then why can't the rest of the government be trimmed down?  And the trimming down would not be a net negative, but a net positive, with better performance.  Hmmm?