Can space money be better spent?
While you worded it slightly differently, what is often asked is, "Should we be throwing money into space." As if the money goes up with the rockets...
That money stays right here, almost all in the US. If you look back a few decades and start counting the innovations that came from that money you might be surprised. Here is a partial list:
1 Health and medicine
1.1 Light-emitting diodes (LEDs)
1.2 Infrared ear thermometers
1.3 Ventricular assist device
1.4 Artificial limbs
1.5 Invisible Braces
1.6 Scratch-resistant Lenses
2 Transportation
2.1 Aircraft anti-icing systems
2.2 Highway safety
2.3 Improved radial tires
2.4 Chemical detection
3 Public safety
3.1 Video enhancing and analysis systems
3.2 Fire-resistant reinforcement
3.3 Firefighting equipment
4 Consumer, home, and recreation
4.1 Temper foam
4.2 Enriched baby food
4.3 Portable cordless vacuums
4.4 Freeze drying
5 Environmental and agricultural resources
5.1 Water purification
5.2 Solar energy
5.3 Pollution remediation
6 Computer technology
6.1 Structural analysis software
6.2 Remotely controlled ovens
6.3 NASA Visualization Explorer
6.4 Space Race Blastoff
7 Industrial productivity
7.1 Powdered lubricants
7.2 Improved mine safety
7.3 Food safety
Source:
NASA spinoff technologies - Wikipedia
I note that micro-miniaturization is not on the list. That was an early innovation as our rockets had limited payload capacity, and everything had to be made smaller, lighter, and more durable.
Overall, "space money" in the past has been among the most productive money the government has spent.