What are the advantages of government ownership?

Answer 1

# Private firms may decide to only offer profitable services. # Benefits of National Collective Action. # Ability to Equalize Resources # Weakens potential special interest control # Private firms may decide to only offer profitable services. # Benefits of National Collective Action. # Ability to Equalize Resources. # Weakens potential special interest control # If the business is owned by a foreigner, there is the danger. # The private sector may not have enough capital to invest in the business. The private sector also find it difficult to borrow loans from international organisation such as the World Bank or the International monetary fund

Answer 2

Your question implies that "nationalization is always better". It is not. Sometimes it is good, sometimes it is bad.

But first of all, we need to clarify the term nationalization. I suppose you use the word nationalization to describe changing ownership of a business from being owned by private to being owned by government.

In that term, nationalization good if the business objectives conflicts with the society/national objectives, if government can serves people better than the private do.

For example, if a telephone company, a private one, has monopoly on telecommunication. They could set the price so high because people depends to them. If they don't want to, they don't need to establish telephone line to small villages because there are no profits there. If that monopoly happens for some period of time, then government needs to do something about it. Government can take over the company, lowering the price, establish network to all houses in the country, etc.

Answer 3

1) Taxpayers get a fair deal.

2) Collect TAX Efficiently and effectively

3) Funded by the government.