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Public Choice Theorists Argue That the Provision of Public Goods

Question 25

Multiple Choice

Public choice theorists argue that the provision of public goods tends to be economically inefficient because


A) the private sector will always provide those goods even if the government does not.
B) government officials are generally more stupid, lazy, or corrupt than their private-sector counterparts.
C) it leads the economy to operate outside the production possibilities curve.
D) to stay elected, politicians frequently adopt programs that benefit a great number of people who each gain very little at the expense of a small group of people who each lose very much.
E) all a voter is able to do is vote for a candidate who favors that group of programs closest to those favored by the voter.

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