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    PUBLIC POLICY and corporate interests

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    How might a public policy be based on the Public Choice Theory?

    Public choice is generally concerned with the preservation of the civil order necessary to maintain individual preference and marketplace solutions. Public choice theorists concede that the pure pursuit of individual gain through the marketplace potentially leads to the destruction or loss of public goods basic necessities often held in common and needed by all citizens in order to survive (e.g., air or water).

    Public choice theory is a valuable tool for understanding the policy process; the motivations of individual citizens in the political process are often shaped by self-interest.
    Public choice theory explains interest group politics. Many goods and services provided by government offer a general benefit for all citizens (e.g., defense, police protection, and basic education), but the cost and benefit per citizen is usually relatively small.

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    Public choice theory explains how the general public actually holds very little influence over political decisions that affect their lives because the public lacks the incentive to become thoroughly informed about the many legislative actions that are required for policy ...

    Solution Summary

    Public policy and corporate interests are examined.