THE WELFARE STATE AND PRIVATE ALTERNATIVES: TOWARDS AN EXISTENCE PROOF.

This article offers information regarding Britain's Welfare State and private alternatives. In mainstream economic theory, the basic unit of analysis is the individual because it is the people who have preferences and take decisions to maximize utility subject to their budget constraints. It discusses that the basic arguments for looking beyond the isolated individual have traditionally been collected under the three functions of Musgrave's public household, including allocation, distribution, and stabilization.