If the free market is called upon to provide public goods, then:

Question

Quizplus · Accepted Answer

Public goods are typically under-provided in a free market because of the problem of free riding. As individuals can benefit from public goods even if they do not contribute to their provision, there is little incentive for private companies or individuals to provide these goods. Therefore, without government intervention, there is likely to be an under-provision of public goods, resulting in less than optimal levels of provision.

If the Free Market Is Called Upon to Provide Public