Privatisation

Question 1

Privatization

Answer 1

act of selling a company or activity controlled by the government to private investors

Question 2

Monopolies

Answer 2

situation where a business activity is controlled by only one company or the government do not compete with it

Question 3

Nationalised industries

Answer 3

public corporations previously part of the private sector and taken into state ownership

Question 4

Natural monopolies

Answer 4

situation where one firm in an industry can serve the entire market at a lower cost than would be possible if the industry were composed of many smaller firms

Question 5

Contracting out

Answer 5

When contractors are given a chance to bid for services previously supplied by the public sector (e.g. provision of school meals and hospital cleaning)