The encouragement to voluntarily contribute to the provision of goods:

Question

Quizplus · Accepted Answer

The encouragement to voluntarily contribute to the provision of goods may lead to the provision of public goods, but it may not always lead to the socially optimal provision. In the absence of government provision or regulation, voluntary contributions by individuals may not be sufficient to provide the socially desired level of the public good. However, such encouragement may still result in some provision of the public good. The provision of private goods, on the other hand, is not necessarily dependent on voluntary contributions. Private goods can be provided through markets where individuals pay for the goods they consume.

The Encouragement to Voluntarily Contribute to the Provision of Goods