Yeah, I think anyone can agree that if teachers would get rewarded more for working better, then that's a good thing.
The problem with it, though, is that "better" is a lot more subjective when it comes to human interaction than something as straightforward as a regular manufactured product like cereals or cars, that's why people see a difference. For example, if a teacher in a wealthy area can teach students more effectively than a teacher in a poor area, simply because of class culture and things like that- should the teacher in the poor area be screwed by the system even more and paid less for "not succeeding enough", despite not being in a fair environment to succeed in the first place? That's obviously just one small example, but there are plenty of hypothetical situations where the ultra-free market might not actually mean anything good.
The argument for state-funded services instead of free-market private ones comes from the idea that when profit is the only motivator, businesses can become exploitative of the system. Businesses can unethically increase profit by exploiting workers, polluting the environment, as well as other practices like unfair monopolization of the market due to the power that a large business has (see Amazon in the book market, Nestlé with water, probably any huge business has some examples of this). You also have a problem of some state-funded services being required despite being unprofitable, like cheap public transport in areas that wouldn't be able to afford tickets at "competitive market prices". Welfare is also of course necessary for anyone who is unable to earn enough money to survive on their own, like the elderly, or people who are incredibly ill, etc. Letting those people fall into poverty isn't a good thing in most people's eyes.
I think the benefits of the free market can exist, but they should never be looked at in isolation, but rather as part of a larger argument- it's dangerous to look at any ideology seriously without considering any downsides and simply concluding that it would lead to a utopia.
The problem with it, though, is that "better" is a lot more subjective when it comes to human interaction than something as straightforward as a regular manufactured product like cereals or cars, that's why people see a difference. For example, if a teacher in a wealthy area can teach students more effectively than a teacher in a poor area, simply because of class culture and things like that- should the teacher in the poor area be screwed by the system even more and paid less for "not succeeding enough", despite not being in a fair environment to succeed in the first place? That's obviously just one small example, but there are plenty of hypothetical situations where the ultra-free market might not actually mean anything good.
The argument for state-funded services instead of free-market private ones comes from the idea that when profit is the only motivator, businesses can become exploitative of the system. Businesses can unethically increase profit by exploiting workers, polluting the environment, as well as other practices like unfair monopolization of the market due to the power that a large business has (see Amazon in the book market, Nestlé with water, probably any huge business has some examples of this). You also have a problem of some state-funded services being required despite being unprofitable, like cheap public transport in areas that wouldn't be able to afford tickets at "competitive market prices". Welfare is also of course necessary for anyone who is unable to earn enough money to survive on their own, like the elderly, or people who are incredibly ill, etc. Letting those people fall into poverty isn't a good thing in most people's eyes.
I think the benefits of the free market can exist, but they should never be looked at in isolation, but rather as part of a larger argument- it's dangerous to look at any ideology seriously without considering any downsides and simply concluding that it would lead to a utopia.