Farmers markets have caught on in cities since the 1970s, and governments played a major role in their growth. Why? Because city officials learned these markets not only made residents healthy and happy … but offered other “positive externalities.”
Externalities
Consumer Product Safety
In 1972 the federal government created a new agency, the Consumer Product Safety Commission, and gave it an impossible task: make hundreds of thousands of consumer products, from children’s sleepwear and bedding to hand tools and recreational vehicles, safer. Here’s how the CPSC succeeded by focusing on the most troublesome products, keeping a watchful eye on others, and using a “trust but verify” approach.
Workplace Safety
Until the 20th century factory, railroad, and mine work was nasty and brutish, and the lives of workers were frequently short. Gradually, governments brought humane processes and healthier working conditions to the private sector. Here’s how they did it in three large waves of reform.
Dependable Insurance
Insurance is critical to our economy and our lives and, taken as a whole, surprisingly big. Americans spend nearly as much each year on insurance coverage as on food. But insurance rests on a promise that, if the worst happens, you will be protected. Why should we believe that promise? Because for nearly 200 years, state governments have audited insurance companies’ books and watched their payment records to be sure they keep their word.
Public Television and Radio
Fifty years ago the federal government created the Public Broadcasting System and National Public Radio and gave them the mission of educating children and informing adults over the public airwaves. PBS went on to become the most trusted institution in America, one offering resources rivaling those of great museums. It delivers its acclaimed programs coast to coast at no cost to viewers and small cost to taxpayers. Here’s how two government-supported organizations educated and informed millions at the flick of a switch.