Question

Why is transportation infrastructure mostly provided by the state and federal governments rather than the private sector in the United States?

A

It is vital to the nation's economic growth and must be controlled by the public sector.


B

It is not in demand and therefore offers no financial incentives for private firms to produce it.


C

It is too expensive for private firms to produce and therefore must be funded by the government.


D

It is needed by all people and may not be affordable if produced by the private sector.


Quickly...............................................................

Answer 1

The correct answer is the option D: It is needed by all people and may not be affordable ir produced by the private sector.

Step-by-step explanation:

To begin with, when it comes to terms of public goods it is necessary to understand that the private sector can not given them due to the fact that it will not be profitable for them or in the other case if it were then the majority of the population will not be able to achieve them, so therefore that when it comes to transport infrastructure the government pays for them because there is not private company that will be pleased to provide that service and moreover, it is something needed by all people so that means that can not be excludable because of the high need of use in order to increase the economy of the nation.