Public Choice - A Primer Adam Smith Institute March 26, 2012
Institute of Economic Affairs Occasional Paper 147 'Market
failure' is a term widely used by politicians, journalists and
university and A-level economics teacher and students. However,
those who use the term often lack any sense of proportion about
the ability of government to correct market failures. This
arises partly from the lack of general knowledge - and lack of
coverage in economics syllabuses - of Public Choice economics.
Public Choice economics applies realistic insights about human
behaviour to the process of government, and it is extremely
helpful for all those who have an interest in - or work in -
public policy to understand this discipline. If we assume that
at least some of those involved with the political process -
whether elected representatives, bureaucrats, regulators, public
sector workers or electors - will act in their own self-interest
rather than in the general public interest, it should give us
much less confidence that go