Points:

1. The market under-allocates public goods.

2. If public goods are allocated by government, voters are modelled to evaluate the net benefits of competing allocations of public goods.

3. At the political equilibrium, most people will be consuming too much or too little of the public good.

4. The more dispersed demands are for the public good, the more unsatisfied people are with the political equilibrium.

5. With majority rule, only the median voter (constituency) should be satisfied with the political equilibrium. The political equilibrium should be the allocation that maximizes the median constituency’s net benefits.