What is the goal of fees that provide a public benefit according to public finance principles?

The goal of fees that provide a public benefit is best characterized by the aim to encourage service usage. When fees are established, particularly for public services, they often serve as a mechanism to promote the utilization of those services by the public. By setting fees that are affordable and reflective of the benefit received, governments can incentivize individuals and businesses to engage with public offerings such as parks, recreational facilities, and public transportation.

This principle underscores the importance of aligning fees with the costs of providing services while also considering the public benefit derived from such services. A well-structured fee system aims to balance cost recovery without deterring use, fostering broader access to essential public services and enhancing overall community welfare. Thus, establishing fees that are meant to stimulate participation in public service activities is crucial for the effective functioning of public finance.