privatization vs nationalization
some of the the reasons that a government
doesn't want to privatize a state company
is that the government worries about loosing control and money
and for the same reasons
a government wants to nationalize a private company
a state company that is privatized
could be bought up by other private companies
that are controlled by an enemy country
a state comapny that is privatized
could leave a business sector
or leave the country
a state comapny that is privatized
could try to move money put of the country
and so on
but if a state company is privatized
then the government will be able to tax that private company
so that the government doesn't loose money
and if the private company wants to leave a business sector
that the government wants the private comapny to stay in
then the government can pay subsidies to the private company
to make it stay in that business sector
the government can control the personel of a state company
by ordering the state company to hire and kick personel
but the government can't control the personel of a private company
since the government
can't make the private company hire and kick personel
but the government can control the personel of the private company
by controlling the private company
through adjusting tax rates, adjusting trade tariffs,
changing business laws and controlling bureacracy
so the government controls the private company
by controlling the habitat that the private company exists in
nationalization of a private company
offers direct control at the cost of lower efficiency
which historically has collapsed many government companies
privatization of a state comapany
offers indirect control with possible higher efficiency
which historically has made privatization succesful in some sectors
for the government it's about survival
loss of money can lead to collapse of government and country
and loss of control can lead to collapse of government and country
with disastrous effects for the country's population
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