This article introduces a theory of government and voluntary sector failure in the context of disaster relief and recovery. It theorizes that government and voluntary sectors will fail based on the amount of demand. This implies that the supply of public services is fixed and demand for public services varies to a greater degree than previously considered. This article argues that government, formal nonprofit organizations, and informal voluntary groups will simultaneously fail (or partially fail) to supply public services. Furthermore, limited supply of services and varying levels of demand predict failure to deliver relief and recovery services.