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The two main problems with Government Authorities are: (1) Authority is not good at getting things to the people who need them most or will value them most that is, it does not allocate optimally, and (2) there is a lack of incentives to encourage authority-based policy to use resources as efficiently as they might be used.

Regarding the first of these problems, it stands to reason that if government officials make a choice on behalf of all the people, it is difficult for them to take into account the infinitely varying needs of those people. They might write a thousand exceptions and special conditions into their decision, but it would still be a clumsy instrument for deciding who is to get how much of what.

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