The BJP government has invited the wrath of all sections of people resorting to privatize the government firms. A pivotal decision was already taken up to provatize the Vizag Steel Plant, a couple of nationalized banks and many PSUs. Well, the media and the people find out numerous disadvantages with privatization. There are advantages, though, according to economists. Checkout the list of advantages from their perspective.
* Privatization creates a competition to public enterprises and which results in efficiency.
* Resources can be utilized at optimum level.
* Financial resources can be generated by the government.
* The government's monopoly can be contained.
* No political interferences
* Merit would be given utmost importance. As such, there will be abnormal productivity.
* There will be tax reductions and job creations.