An Analysis and Evaluation of Disinvestment of Public Sector Enterprises

Commerce

This paper gives the definition of disinvestment, states the difference between disinvestment and privatisation, gives a brief account of public sector in India and changes in government policy towards the public sector. Public enterprises, because of the nature of their ownership, can restructure slowly and hence the logic of privatisation gets stronger. Besides, techniques are now available to control public monopolies by regulation competition, and investment of public money to ensure protection of consume interests is no longer a convincing argument. Sense it was the need of time to disinvest privatizes the PSEs. This Paper also consider some issues related to disinvestment such as why disinvestment, how much disinvestment, how to make disinvestment etc and conclusion.

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