It took years for the FDA to investigate Theranos in case you are not aware. And they only did when the press started digging up. Poor, poor track record.
fdareview.org - the fda kills more people in late/non approvals than it saves through denials. this is why compassionate use has been on the rise
It does not, in any way, imply that pharmaceutical companies would do a better job if left to their own devices and market pressure.
There's a lot of sunlight between letting pharma companies run rampant and having the FDA. One could imagine private non-profit testing and qualifications standards organizations along the lines of the underwriters laboratories
And who will manage all that testing? A government entity? Because that would bring us back to the original point.
UL is not "managed" by a government.
It is not completely out of this world to imagine multiple private entities involved in pharma dossier reviews instead of having the FDA. The FDA employs tons of private consultants anyway so they bring virtually no value.