Nationalization of Bolvia's Oil and Gas Sector
Bolivia Nationalizes the Oil and Gas Sector
a. What are the benefits and drawbacks of nationalization?
Benefits and drawbacks of nationalization
1. Public welfare: Nationalization abolishes the economic powers to form a few monopolists and enables the govt. to take steps for the welfare of the public.
2. Economic Prosperity: Government got the power to modernize the industry, communications and transport for the best interest of the nation. So rapid growth of industries causes economic prosperity in the country.
3. Maximum utilization of resources: All the oil, gases, minerals and other national resources can be utilized maximum in order to achieve economic development. 4. Development of Backward Area: All the regions of the country developed equally under nationalization. Regional and social factors are considered preferential while Government decides regarding the location of new plant.
5. Improvement of Working Conditions: Government improves the working conditions of the workers in nationalized industries. The state interested in providing just rates of pay, security of services and other fringe benefits. So peaceful atmosphere can be maintained in the industrial field.
6. Protection of Public Interest: Unhealthy competition among the industrialist’s injuries the interest of the public which can be measures and mitigated by state ownership.
7. Economy: It enables the Govt. to achieve the economy in different fields due to the coordination in numerous departments.
8. Promotion of Defense service: Nationalization is desired to strength then the specific industries for defense of the country.
9. Centralized Management: Centralized management is possible due to co-ordination in nationalized industry. It thus enables the state to solve the problems of organization, capital, labor operation and marketing.
10. High Standard of Living: It tends to increase the economic activities of the country which
a. What are the benefits and drawbacks of nationalization?
Benefits and drawbacks of nationalization
1. Public welfare: Nationalization abolishes the economic powers to form a few monopolists and enables the govt. to take steps for the welfare of the public.
2. Economic Prosperity: Government got the power to modernize the industry, communications and transport for the best interest of the nation. So rapid growth of industries causes economic prosperity in the country.
3. Maximum utilization of resources: All the oil, gases, minerals and other national resources can be utilized maximum in order to achieve economic development. 4. Development of Backward Area: All the regions of the country developed equally under nationalization. Regional and social factors are considered preferential while Government decides regarding the location of new plant.
5. Improvement of Working Conditions: Government improves the working conditions of the workers in nationalized industries. The state interested in providing just rates of pay, security of services and other fringe benefits. So peaceful atmosphere can be maintained in the industrial field.
6. Protection of Public Interest: Unhealthy competition among the industrialist’s injuries the interest of the public which can be measures and mitigated by state ownership.
7. Economy: It enables the Govt. to achieve the economy in different fields due to the coordination in numerous departments.
8. Promotion of Defense service: Nationalization is desired to strength then the specific industries for defense of the country.
9. Centralized Management: Centralized management is possible due to co-ordination in nationalized industry. It thus enables the state to solve the problems of organization, capital, labor operation and marketing.
10. High Standard of Living: It tends to increase the economic activities of the country which