"Clueful SEC investigators" You mean those hard working folks that ended up NOT prosecuting any of the investment/banking heads that crashed the market?
"top scientists" you realize that NASA just had a massive 1200 people layoff?
"remaining employees will have a higher concentration of high-wage specialists" We're not talking about the average here. More federal workers made more money. It's that simple. Unless you're implying that the money they saved in outsourcing was then spent on the remaining workers, in which case, how is that better?