Public Corporations Flashcards
1
Q
What is a public corporation?
A
Businesses owned and controlled by state government.
2
Q
What is privatisation?
A
Transfer of public sector resources to the private sector.
3
Q
Features of privatisation
A
- sale of public corporations
- Deregulation
- contracting out
- the sale of land property
4
Q
Why does privatisation take place?
A
- To generate income
- to reduce inefficiency of the public sector
- as a result of deregulation
- to reduce political interference
5
Q
What are the factors effecting the appropriateness of different forms of ownership?
A
Growth Size The need for finance Control Limited liability
