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Private or Public: A Model of Ambiguities

A marked feature of modern government is the intermingling of the private and public sectors. The degree of this mixture is indicated by comparing the ways three consecutive models of United States society have dealt with the following four aspects of social policy: equity in the allocations of resources, efficiency in the allocation of resources, freedom of choice for individuals, and the public interest. The conclusion is that the practice of "federalism by contract" has occurred to a far greater extent than is generally recognized and that it suggests problems of accountability and control for the field of social welfare.