1889 Institute: The problem of diffuse costs and concentrated benefits

The Problem of Diffuse Costs and Concentrated Benefits

by Benjamin Lepak

Do you ever observe a seemingly illogical government program or spending decision and ask, “How is it that no one has fixed that?” This often takes the form of a curious headline (Save Federal Funding for the Cowboy Poets!) that doesn’t seem real.

Often, this phenomenon results from the problem of diffuse costs and concentrated benefits.

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from MuskogeePolitico.com