Mr gbaikie and I have had this argument already on Space. I agree that private enterprise would be ideal for space development, but except for those few areas where it has been able to turn it into a paying business (comsats, for example) it hasn't happened. Even in some fields where there is a big commercial payoff, like earth resources satellites (my business), they haven't been able to make it work without huge government subsidies. Weather satellites are enormously good business, but its hard to figure out a way to charge the customer. Science and exploration? not much profit there. Development of infrastructure? Huge government investment so private enterprise can move in and cream off the profit? Sounds like pork to me.

If we use the rennaissance exploration of the Americas as a model, the government makes the initial investiment, and when the forts are established, the companies form to harvest the gold, furs, tobacco etc.
But the gold and furs are not there in space, at least not yet, so there is no incentive for business to invest or the gov to build forts. Unless we find something very valuable in space, we'll need government if we want to go at all. And untill we go, we're not likely to find something worth going after.