Probably. But the solution almost certainly doesn't involve the federal government policing what is and isn't researched, discussed and taught. We had a system that worked. We're destroying the parts of it that worked, while retaining the parts that are novel. (Turning conservatives into a protected class, for instance--not even the CCP explicitly reserves seats for party members.)
There are also reports you submit showing your progress and how you spent the money, to check that you are spending it on things you said you would.
This thread (not just the person I'm replying to) demonstrates a lot of misconceptions about why we have research funding, how it works, and what the results have been in practice. Please, everyone, don't rely on stereotypes of how you think research funding works.
Pure science may not be a typical case, though, because the people who control the funds don't really have any idea whether the work they are funding is ultimately going to turn out productive or not. The work involved is far from routine and basically a jump into the unknown.
I get the risk of fraud and nepotism, but in some other situations (Bell Labs etc.), "choose very good people and let them improvise within certain limits of a budget" turned out to be very efficient. The devil is in the "choose very good people" detail.