To continue on with the steelmanning, the first stage is probably a drop in a bucket compared to the entire effort. How much freight do you think it would take to colonize a planet with a population large enough to be relatively self-sufficient? Just the payload cost would be huge and that's just to park it (not to assemble, maintain etc.) I think the steelman argument would be to focus on things immediately needed, like healthcare, before space adventurism.
Edit: to put a finer point on it, the commercial space industry is essentially subsidized by the government precisely because it's not currently economical. In other words, if the government wasn't a customer there would be no commercial space industry. There's nothing inherently wrong with this because it's how high-risk industries often get started (e.g., the airlines), but the fact that it is subsidized by the government points to the fact that it is (currently) inherently uneconomical
It is basically a larger version of the argument "Well, if you are so poor, why did you drink that cup of coffee this morning?"
At no point did I say it's a magic bullet that would "completely fix" any of that. But spending hundreds of millions directly on healthcare would likely pay more healthcare dividends than, say, some unintended materials science application that started in rocket engine development.
How exactly do you think funding gets doled out? They aren't just given a blank check...Agencies request a certain amount, then as the sausage gets made on Capitol Hill, some programs are shaved, others are padded. The people in those discussions are bringing their priorities to the table and, in some cases, will have to make concessions like not having their metaphorical coffee in order to save a higher priority project.
For example, the U.S. pays more than 40% (down from 50%) of the worlds medical R&D. They essentially subsidize healthcare for much of the rest of the world (meaning the U.S. bears more of the cost so other countries can have cheaper care). There's plenty wrong with the U.S. healthcare system that needs fixing, but trite sentences don't begin to capture the real nature of the problem.