what are some cases in which the private sector is less efficient than the public sector?

Answer 1

The key point here is the economic definition of efficiency. That is that a "Pareto efficient" outcome comes about. Pareto efficiency is where the economy as a whole produces and consumes a good or service up to the point where gross marginal benefit equals gross marginal cost.
Hence when either the production or consumption of a good or service has an impact (whether negative or positive) on anyone other than those producing and consuming it, without government regulation or involvement the result will be inefficient.
Let's look at the example given above of defense. If we left national defense up to the individual, and you and everyone else chose to spend 20% of your income on defense, then I would benefit from living in that security whether or not I paid. This is a public good. Benefits will fall to people whether they pay or not, and those people cannot be excluded. Hence I will not pay my 20%, still benefit, but the total amount spent by the economy will be less than at the point where gross marginal benefit is equal to gross marginal cost. Another example is health care or education, where not only the individual being cured or educated benefits, but also thier current or future employers, and indeed society as a whole.
Similarly there is such a thing as a public bad. If I produce a product that pollutes nearby water supplies, the impact (cost)of that pollution is not felt solely by me, but rather by society. When determining how much to spend I do not take this into account and so produce too much, looking only for the point where my personal marginal cost equals marginal benefit.
Finally a monopoly (ie only one supplier of a product) or a monopsony (only one buyer of a good) will generally produce too little or much respectively of the good. Hence if an industry is a Natural monopoly (or monopsony) then the result will tend towards inefficiency. So if an industry requires so much investment that it is only profitable for one player, often governments will take over such an industry (such as UPS or in other countries the airlines) and run it to an economically efficient outcome.

Answer 2

a million the regularly occurring public sector industries Managers have a lot less ability to introduce new resourceful strategies for procuring better the performance as they had to get the permission to get it approved through higher authority. 2. interior the regularly occurring public sector income includes a lot less magnitude and the effective guy at the instantaneous are not recognized right here and basically the seniority counts. 3. the regularly occurring public sector industries at the instantaneous are not getting the finished adult males because the compensation isn't having the surprising perks and funds. 4. pink tap ism makes the options delayed and this isn't proper for aggressive international. 5.the regularly occurring public sector workers lake innovation as their jobs are common and no separate incentive are given for workers.

Answer 3

National defense.