Private Goods vs. Public Goods Under Transition

In most developed economies, especially in the European Union, public expenditure has long accounted for about 50 percent of gross domestic product. Consequently, public and private goods have roughly been divided at a 50:50 ratio.<br> Even though public expenditure covers more factors than just public goods, its expansion in developed market economies was one of the most prominent processes of the second half of the 20th century. The causes behind this trend varied, with individual countries displaying various specific conditions. Still, it seems that at least seven general factors can be listed in this context; for reasons of space, let me list them without a detailed analysis [...]