Privatization

2005

Journal of Macroeconomics, 1989

Vikalpa, 1994

2008

Journal of King Abdulaziz University-Economics and Administration, 1992

KnE Social Sciences, 2019

Panoeconomicus, 2007

In reality privatization has never occurred according to the handbook rules of ordinary market transactions. Not even in advanced market economies can privatization transactions be described by the Walrasian or Arrowian, or Leontiefian equilibrium models, or by the equilibrium models of the game theory. In these economies transactions of privatization take place in a fairly organic way ? which means that those are driven by the dominance of private property rights and in a market economy. But despite this fact Western privatization also some peculiar features as compared to ordinary company takeovers, since the state as the seller may pursue non ? economic goals. Changes in the dominant form of property change positions and status of many individuals and groups in the society. That?s why privatization can even less be explained by ordinary market mechanisms in transition countries where privatizing state-owned property have happened in a mass scale and where markets and private prop...

Poole Jr. et.al defined privatization as the shift of responsibility either in full or partial capacity for a function. In its general sense the term privatization implies for the transfer of control and ownership of any economically active entity to the private sector from the public sector. Sanera, et.al ( 2009) showed that privatization can take four forms which are competitive sourcing, partnership, contracting and sale of assets. It depends mostly on the objective behind the privatization that which of these forms a government or state authority will prefer to apply in privatization. In many cases the privatization were referred as denationalization. The reasons to favor privatization were visited in detail by Shirley, et.al (1992)where she listed reasons for any government to go for privatization. According to her, government’s should privatize as it will improve - the use of public resources - the operating efficiency - the dynamic efficiency Shirley et.al (1992) also defined how the government’s should privatize state run enterprises. Per her guidelines states need to create that conducive environment for the privatization, streamline the process for it and be ready to be interacted by the enterprise once it is privatized. On this basic context, our paper is titled “Does privatization improve management controls and enhance enterprise performance to facilitate development goals?”.

Journal of Economic Literature, 2001