Opportunities for Discussion

1. List public goods you use every day (such as roads, schools, police protection, and clean air). Think of ways that the market could deliver these goods. Can you avoid the nonexclusion problem?

2. Two approaches have been used to control pollution, government mandates and market incentives. Suggest how market incentives might be used to deal with a pollution problem in your town.

3. How will the economist's view of the economic role of government change if the public choice economists are right?