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2007-04-30 09:59:20 · 3 answers · asked by nidya 1 in Social Science Economics

also, when is the private sector less efficient than the public sector?

2007-04-30 10:10:29 · update #1

3 answers

In principle they should be, to encourage people to pay for their use instead of using a free road. Since a road can not be build without the ability to seize private property for the right of way, real competition can not happen. In practice most toll roads in the US are build and run by state governments and have the same maintenance. States instead often do not build free roads that provide the same travel options as the toll roads assuring that most non-local people will pay the toll.

2007-04-30 15:03:53 · answer #1 · answered by meg 7 · 0 0

Toll roads can pay for thier own maintenance while the govornment has no incentive to maintain any specific stretch of road beyone a driveable condition.

2007-04-30 17:06:20 · answer #2 · answered by TheEconomist 4 · 0 0

because the money you pay goes directly to maintaining those roads

2007-04-30 17:06:51 · answer #3 · answered by serieafan89 2 · 0 0

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