This reads as little more than pure emotion coupled with sweeping universalizing--the state is universally evil, private capital is universally good. Absolutely nothing about states or capital investors can be so easily reduced to such a binary conclusion.
Private capital, and the humans who administer it, has repeatedly mismanaged funds, and been responsible for enormous fuck-ups that have far-reaching and devastating social, environmental, political, economic, material, and global impacts. Private investors routinely make bad investments. They also rather frequently are found to prioritize the extraction of value from their investments in spite of the potential or realized impacts of such extraction.
The state does not take money. We no longer live under feudalism, friend. We no longer labor under the unquestionable divine right of kings. The modern democratic state is, by the free association and choice of its underlying organizational units, and the continued consent of its citizens, asked to assume the role and responsibilities, at least in the US, of the following:
- form a more perfect union
- establish justice
- insure domestic tranquility
- provide for the common defense
- promote the general welfare
- secure the blessing of liberty to its citizens and their posterity
Private capital could never fulfill these obligations, because its focus is most definitely on extracting value from that which it invests in. I doubt very much you'd enjoy living in a world where its investment in you was dependent on extracting value from you (well, actually, you already do, but you don't feel the full brunt of that burden thanks to ... you guessed it ... the state).
Now, if you'd much rather live under feudalism, serfdom, obedience to divine kings, etc., well cool. But those are sociopolitical conditions under which people lived for centuries where they definitely were able to "pay lower taxes and let the private investors do the investment". Those are the systems under which money/property was actually taken from people, because people had no methods or institutions by which they can seek to protect themselves from the arbitrary whims of value extraction, or engage in political action that can bring change. That's why most now-democratic states saw revolutions in their past--it was the only way to make change happen, the only way to abolish systems of unfettered value extraction and replace them with something that protected the masses.
At least in the US, even the revered and worshipped founders realized pretty quickly after becoming an independent nation that taxes were unavoidable, because without public funds, the state could not fulfill the obligations for which it was instituted.
I shudder at the thought of living in a world where people trust VCs to provide that which the state, even in its dysfunction, works to provide.