Risks of Privatisation According to critics the policy of privatization suffers from the following drawbacks 1] No social justice Since private sector is profit-oriented it cannot ensure social justice. 2] Poor performance Many private sector units in India are performing…
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Privatisation – VI
Tagged with: 1991, disadvantages, nep, new economic policy, Privatisation, problems
Posted in Indian Economy
Posted in Indian Economy
Privatisation – V
Advantages of Privatisation The basic economic argument given for privatization is that governments have few incentives to ensure that the enterprises they own are well run. One problem is the lack of comparison in state monopolies. It is difficult to…
Tagged with: 1991, advantages, components, nep, new economic policy, Privatisation
Posted in Indian Economy
Posted in Indian Economy
Privatisation – IV
Measures taken for Privatisation 1] Dereservation policy The public sector entering new areas of industrial and technical competence, a number of problems like insufficient growth in productivity, poor project management, over-manning, inefficiency etc. The result is that many of the…
Privatisation – III
Privatisation in India In the Industrial policy resolution of 1948 about 17 strategic and important industries were reserved for the public sector. From 1956 onwards government kept increasing the public sector hence the growth of public sector was fast. This…
Privatisation – II
Definition of Privatisation Etymology The Economist magazine introduced the term in the 1930s in covering Nazi German economic policy. History The history of privatization dates from Ancient Greece, when governments contracted out almost everything to the private sector. In the…
Privatisation – I
Meaning of Privatisation The concept of privatization is used in a narrow as well as broader sense. In a narrow sense privatization means transfer of ownership from public sector [government owned enterprises] to private sector, where it is privately owned…