Multiple choice

Consider the following statements: In Public Choice Model, the organisation of public services is strongly inclined towards

  1. small-scale rather than large-scale enterprises in public service provision.
  2. single all-purpose provider structures of public service rather than multiple-provider structures.
  3. user-charges rather than general tax funds as the basis of funding public services other than pure public goods.
  4. private or independent enterprise rather than public bureaucracy as the instrument of service provision. Which of these is/are correct?

  1. Only 1

  2. 2 and 3

  3. 1, 3 and 4

  4. 2, 3 and 4

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

The Public Choice Model applies economic logic to public administration, favoring market-like competition and decentralization. It supports small-scale enterprises (1), user-charges for services (3), and private or independent providers (4) to increase efficiency. It opposes large, monolithic, single-provider bureaucracies (2), preferring polycentricity instead.