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  • Category: Miscellaneous

    Privatisation - pros and cons.

    It's been reported that several public units have been privatised and some more are in pipeline. If private players take over the public sector then they might have a monopoly in the market and it will directly affect people. It will create job insecurity for employees, these are some negative aspect of privatisation but if emotions are discarded and mind is used to glance at privatisation I think we will see the better and healthy working environment. Employees will work more efficiently and customers will be given due respect. The private sector will give better results and privatisation will improve the economy, especially, in industrial and tertiary sectors, hopefully, growth, production and services will improve immensely and as a result, It will improve our GDP.
    As far as employment is concerned, there will not a place of bribe for getting a government job. In the private sector, efficient candidates will be entitled to getting employment in all sectors.
    However, healthcare and education should not be privatised because in private sector money and profit are important factors and in healthcare and education profit and money can't be prioritised.
    What is your opinion about privatisation ?
  • #720838
    It is said that Govt should only have defence, judiciary, and administrative set ups in the Govt sector and rest should be given to private players. This seems to be a good strategy because Govt should not do those things where it is not efficient to do it in a professional manner. So, the areas concerned to national defence and integrity and national pride only are to be seen by the Govt and other things let entrepreneurs people should tackle. As we all know every system has some plus and minus points and privatisation also brings monopoly and restrictive trade activities. From that point it is a threat but Govt can always control it through the administration. If administration is corrupt then whatever change we bring it would not help the country to progress. Every system will fail in that case.
    Knowledge is power.

  • #720846
    ^ Why monopoly of private players can be controlled by the government?

  • #720849
    A company in the public sector is running under losses. Then the government decided to sell it to a private company. A company has taken over and in a span of two years the same unit started making profits. What is the reason? In a government understanding, the top employees will never have the belongingness. The government undertakings productivity is always than the private company. Realisation per head in a private sector will be much higher than that of the government sector.
    Corruption plays an important role in public sector units and in private organisations such chances are not there. The rate of a material which is purchased by a government undertaking will be definitely higher than the rate of the same material purchased by a private company.
    There is no problem in privatising healthcare and education also as long as the government controls their rates and demands. The government should fix the rates for each and the private players should not cross those rates. If it is maintained there is no problem with the private sector also. But because of the corrupt practices in the government, we are seeing that the private educational institutes and hospitals are collecting huge amounts from the people.

    always confident

  • #720850
    ^For poor people, government hospitals can give fee medicine but if healthcare is also privatised, they can't afford private hospitals. I am speaking about poor people.

  • #720884
    India is the mixed economy through which we have derived tremendous progress in the past and our past five year plans envisaged for alternate support to the Industrial and agriculture sector and in the recent past the infrastructure is given more importance and thus there is a feeling among the public that the govt is embarking on privatizing the organizations and companies which are no more even achieving the break even. Most of the public sectors units are over sized employees wise but less production and no demand for their products and services therefore the govt feeling the pinch of over heads and salaries which are not forth coming. By selling away stakes or privatizing the loss making units there are very chance of they getting into main stream otherwise the losses would mount to the position of no return back.
    K Mohan @ Moga
    'Idhuvum Kadandhu Pogum "
    Even this challenging situation would ease

  • #720886
    From the point of view of the development of the country, privatization is an important aspect because development is not possible without privatization. Until the LPG model was introduced in 1990, the rate of development was meager, and after its implementation, we are all aware of the development. The disadvantage of privatization is few but it may be on the general public that the capitalist class starts taking advantage of privatization and exploiting the public. Privatization does also have its own problems, but speed is not possible without this, so it is right to privatize except for some important industries. But under no circumstances should the government-run away from its responsibilities, privatization should not mean that the government should now leave the public on its feet.
    Swati Sharma

    Keep your Face to the SunShine

  • #720944
    When we talk of helping the poor and giving opportunities to the poor then only Govt sector can do that. No private business will work for charity. Private business can generate employment but that also when it comes to cost effectiveness they go for atomisation and modern techniques which is detrimental to the employment. So whether to privatise or not is a tricky situation. I think it can only work in advanced countries with less population.
    Thoughts exchanged is knowledge gained.

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