The market mechanism leads to underproduction of public goods because the supply of public goods is hidden.

Name: The market mechanism leads to underproduction of public goods because the supply of public goods is hidden.
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The market mechanism leads to underproduction of public goods because they are non-excludable and non-rivalrous, making it difficult for private firms to charge consumers directly and thus less profitable to produce.

The Market Mechanism Leads to Underproduction of Public Goods Because