Re: What is the AC mechanism, if any, for dealing with
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Given the high costs of contracting private security firms...
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What makes you think this?
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They're expensive today so I'm guessing they'd be expensive in the future, too.
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Some how taxes pay for police now (even though it's a ineffecient monopoly which creates both higher prices and a worse product), why would putting in on a free market make it too exspensive to be used.
What other specialized goods or services on the free market are too exspensive to the point where people always choose to enlist friends or relatives to provide them for free instead?
If a company's product is generallly too exspensive (say higher then the equilibrium price) it lowers the price. If say the costs of providing it are too high for a large amount of consumers in the area, I don't think to many friends and relatives will be thrilled with the idea of doing it pro bono.
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