Arent PSEs worth subsidising for their social objectives alone?
First, where the private sector already does a job as good or better than government can, there is no reason for taxpayers to subsidise PSEs. Then, where there is a government monopoly competition can often be introduced. An example is telecoms, where only a few years ago it seemed like a monopoly and now new technologies allow for competing mobile telephone providers, Internet providers, long-distance services, etc., and even basic telephony.
