15 Explain why government state education services can create a free-rider problem.

UK parents must choose between moderate-quality state secondary schools financed entirely by taxes or high-quality private schools financed entirely by fees. If quality is related to cost, a private school that was just a bit better than a state school would get no students, so only high-quality private schools exist. Most parents choose state schools because they can’t afford high quality. Most would prefer to contribute to the cost to raise the quality at state schools, but they are not allowed to. Instead people spend money on moving house or buying educational toys, which is inefficient