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An Essay Of Public Services Marketization

How can we design markets or quasi-markets to improve non-core government functions?

  • Markets Based
  • Non Markets Based
  • How to reduce the public sector?
  • Which will be the impact of size of the public sector?
  • How to create markets for provision of ‘public services’?

Comparison: Market vs. Non-Market Approaches

Aspect Market-Based Non-Market-Based
Primary Driver Price, profit, competition Cooperation, regulation, shared values
Efficiency Promotes innovation, cost-efficiency Addresses market failures, equity
Examples Startups, auctions, green markets Laws, NGOs, public services
Challenges Inequality, externalities Bureaucracy, inefficiency