Why does the government provide public goods

Question

Quizplus · Accepted Answer

The government provides public goods because private markets would not produce the efficient quantity of the good. Public goods have the characteristics of non-rivalry and non-excludability, which make it difficult for a private market to produce these goods efficiently. Without government provision, there would likely be underproduction or no production of public goods. The government can ensure that the good is produced in the optimal quantity, with the costs of production spread over the taxpayers, making it more affordable for consumers.

Why Does the Government Provide Public Goods