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John_Maxwell_IV comments on International cooperation vs. AI arms race - Less Wrong
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Beyond a certain dollar amount, it seems that smart people typically start caring about other stuff like what they're working towards, how smart their co-workers are, etc. I'd expect that many/most top software engineers would prefer to work at Google doing good for the world making $150K than the US government doing bad for the world making $200K.
This is a good point, but I'm not sure how much of that is driven by "doing good for the world" and how much by "working at Google"; so governments might try to use private contractors. Also, it's not entirely obvious that the average Google project improves the world more than the average government program (that requires top programmers).