Millions pumped into crucial Lake Rotorua restoration scheme
The economic perspective proposes that incentives of change with respective to behavior as the concerned action has taken place already. It is an imposition of retrospective liability being put on the individuals in terms of the actions taken at the time, they were lawful. They were encouraged by the government of New Zealand during that time, contradicting to what is understood to be equity and fairness.
In the context of Lake Rotorua restoration, a significant factor encouraging the usage of general taxation and not the fees of the separate user fees or the targeting of the taxes for some specific groups of beneficiaries is the cost of transaction included in a sequence of mechanisms of funding (Williamson 2002).
It is recommended that the superior approach is the one contained in the emphasized area of government approach on the status of the lake whether or not it is nationally important. Therefore, the benefits are treated as an amalgamation of public goods with a number of factors that includes the importance for tourism, and for recreation. It can be considered as an important icon, culturally and spiritually symbolizing the commitment of New Zealand for sustainability.
This is the consideration of the third issue with respect to the argument related to the beneficiary pay is the efficiency of the apparatus available. The two issues are considered: (a) the minimize of transaction costs; and (b) choice of way of having minimum economic cost.