The above title is a book that looks like a good read. From the Independence Institute:
Market failure versus government failure. Social and economic problems are often attributed to the failings of the market economy, though they frequently result from failed government policies. For example, pollution and other environmental problems often arise from the government not defining and enforcing private-property rights adequately. Economic recessions result from the burst of asset bubbles fostered by the government’s promotion of risky, unsustainable investments.
Another example: the growth in social welfare caseloads stems in part from the failings of government schools, regulatory obstacles to labor-force participation, and public policies that hinder the accumulation of savings. Political decision-makers—ordinary voters and government officials alike—need a strong grasp of the limitations of the political process and the roots of government failure.