The main objectives of privatization are to improve the
financial health of the public sector, strengthen the role of the private
sector in job creation, and provide free resources for use in public-interest
sectors like education, security, health, housing, transportation, and other
infrastructure development initiatives. Production efficiency increases also
contribute to faster economic growth and development. Globalization has led to
a significant increase in the prevalence of privatization. Privatizations
carried out with the intention of reducing the deficit and paying off debts
could provide a fictitious sense of temporary prosperity. However, the primary
objectives of privatizations are gradually moving toward secondary goals, with
the majority of privatizations attempting to reduce the public financial
deficit. Through hurried and improper privatizations, societies suffer significant
long-term losses when institutions that were built up over time with public
monies and have historical and social relevance for nations are transferred to
the private sector. In order to address the public financial deficit,
privatizations escalated in our country in the 1980s. However, at this time,
debts mounted even more, effective institutions were destroyed, and public
losses became apparent. The majority of public-private partnership ventures,
which should be viewed as a kind of privatization, have cost the general public
significantly more than their true costs. As a result, when the privatizations
were taken in their entirety, the public suffered more losses than gains.
Author(s) Details:
Abdullah Murat Tuncer,
Department of Political Science, Conley American University,
Honolulu, USA.
Please see the link here: https://stm.bookpi.org/CABEF-V2/article/view/7644
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