> Now I'm thinking that the situation in the US is even worse than that; not only are corporations trying to discredit the government, but the government is working hard to discredit itself as well.
Of course it is.
Powerful and motivated interests have long been working to overturn basically every social program and every protection for labor, discrimination, environment, voting, etc. The goal is to "starve the beast," privatize everything to work toward a government that only runs the military and police, and to make sure it stays that way once it gets there.
Insidiously, they can win support by pushing the government to be more wasteful, more corrupt, less effective, more intrusive, more bumbling, and more frustrating to work with. The moment of victory is when they convince you that government fundamentally is a bad idea that cannot work well, all those taxes you are paying are just going to be squandered, and we'd be better off getting rid of the whole thing.
They have been at work for decades through groups like the Heritage Foundation, CATO institute, etc., to push this into the mainstream. They reached new heights of legitimacy with FOX news & co., and have made great progress with the Trump presidency so far.