Private sector crime prevention and protection efforts will be both relatively effective and efficient, as compared to public sector efforts, because of specialization which improves productivity and because private sector individuals tend to be more cost-conscious than public sector decisionmakers. In addition, private sector crime prevention activities may complement public police, improving their ability to prevent or solve crimes. Competition from the private sector may also force bureaucrats to make greater efforts to produce at low cost. Private sector protection generates external benefits for which private suppliers may be unable to charge. For example, a private security patrol hired by a few individuals to patrol a neighborhood deters criminals, both for the individuals paying and for those not. When there are strong 'free rider' incentives associated with private sector efforts, it usually means there is too little private sector protection purchased and produced. However, the free rider problem does not justify additional government production. A total of 64 footnotes is included.