How Public Sector Destroys Indian Economy!
How Public Sector Destroys Indian Economy!
| By Anonymous on Monday, May 22, 2006 - 10:01 am: |
Privatization is like a really good wet dream, if you think your standard of living is going to be improved.
Yes, you'll get better quality hospitals, better quality phones...and what not. But the chances are, you won't be able to afford to use any. So, you'll just have to stand aside and drool over them with the rest of the population.
Like now, I can run an A/C all night and use an electric heater for a bill of Rs. 3000 for 2 months. Which is Rs. 1500 per month. If it were privatized, I can count on paying Rs. 6,000 PER MONTH. That's how much I paid in Manila, Philippines even though the income levels of both India and Philippines are the same, more or less.
DO I want to pay that blown up amount? Hell no! But I have to put up wit power cuts for 2-3 hours daily. Well? No problems, if you ask me! I'd much rather do this than fund a private sector firm's extravagance. I don't especially fancy getting eaten alive by mosquitoes at night while a small group of elites are having a grand ball somewhere in New York, Macao or somewhere exotic for $10,000 a night...
And how's about better quality hospitals with pretty nurses, cleaner rooms etc? All looks real good except till that dreaded bill comes about. This is when privatization becomes ugly. Real ugly. In the Philippines, buying common medicine is about 50 to 200 times more expensive than India. This is one of the things which made me say "long live the public sector." And again, the average income in the Philippines and India is more or less the same across all sectors of society.
Privatization by its virtue generates more $$$ but only a very select few- like 0.5% of the people, will enjoy the fruits. The rest will just have to work like dogs to get those facilities. ANd if you think they'll share it with you in any way shape or form, you might as well give me your credit card number...
I'd support more privatization but only for small and medium scalers. I still feel that large scale enterprise like public works (electricity, phones, health care) should be state run. Because in privatization, basic goods and public works become a luxury rather than a right.
Increasing income levels is a trait in privatization- but costs increase more than income. This is why we put up a public sector infra in the first place. Keeping costs down is better for the people than increasing income...
| By Anonymous on Monday, March 20, 2006 - 10:10 am: |
An active public sector I think has helped us in other ends- like remaining soverign when making intl. decisions etc. Also, I don't see any drastic improvements in ordinary peoples' lives (outside the metros) from all this privatization. We have more money but we also have more tension, debts etc. It is very sad and dangerous to see our country take the ASEAN route. I've seen both private and public sector companies and life is much healthier for the ordinary employee in the public sector company...
I'd invest super heavily in the public sector. An independent economy is what made us a notch above ASEAN/ ex- SEATO countries in world affairs.
| By kshitij kaushik on Monday, January 16, 2006 - 10:43 am: |
please name all psu of india.
also the profit making and non profit making.
| By tino on Tuesday, December 13, 2005 - 08:11 am: |
i want to know about merit and demerit of privatalisation on india economy.
| By Deepu on Wednesday, December 07, 2005 - 11:38 am: |
dear sir
i would like to know what is privatisation and its merits and demerits.
bye
deepu
| By vikky on Wednesday, September 28, 2005 - 07:50 am: |
respected sir
i want to know what do you mean by public and private sector how it relate with indian economyand what are the latest happenings going on these sector
| By karan on Wednesday, August 24, 2005 - 01:25 pm: |
sir
Sir
I want to know about the strategies the Indian public sector companies should adopt in the changing environment of disinvestment & privatisation. Also what should be their role towards social responsibility, employee and community welfare in such environment.
from
karan
| By pradnya on Wednesday, August 24, 2005 - 05:19 pm: |
i would like to khow what is public sector and private sector
| By niharica on Tuesday, May 17, 2005 - 06:05 am: |
how many private sector and public sector and their merits and demerits?
| By glan on Sunday, April 10, 2005 - 01:37 pm: |
i would like to know more about disinvestment..the meaning..the history..and a case study of any company who has faced disinvestment
| By Pratham on Tuesday, March 29, 2005 - 09:14 pm: |
Dear friends
Public sector companies form the backnbone of indian economy.After independence, govt of india decided to establish public sector companies with keeping these things as the aim:
-employment generation
-generation of heavy machinery-
-social sector obligations
-total control over stratgic sectors
-Reliability and complete trust
so itmust be clear that making profit was not the prime objective but to boost the economy and generate value was. So there might be no surprise that social sector welfare being the prime objective cause a loss of profit. Till even late 80s, there were not much changes in that thinking.
Only after refomrs started, we begin to think about profitability and all that.And all the plus points of publica sector are now being seen as flaws of the same.
Right now, we are having a growth rate of over 6% and having targets of 8%, but we still regret growth without employment generation because the benefits of growth are not percolating to the ground section of public. Then how can we forget that public sector companies and government together form the largset employer( in organised sector) of the country(around 175 lakh against 75 lakh in private sector).
It is quite acceptable and demand of the day to be profit oriented, but we should give PSU's the time they deserve. And still, PSU are the largest profit making companies in India.
Disinvestment is a requirement but it has its disadvantges as well. With disinvestment, Govt loses the original money it invested when nobody was interested to invest and it does not get the returns which are upto mark. And moreover, it increases dependence of country over private sector which is neither good for country nor for public.
On the top of that, till now, in India, except a few private sector companies, others havn't proved there competence to be relied any strategic sector responsibility or high morals.
I think that time has arrived for encouraging private sector partnership in Indian economy but not for privatisation India.