MENU
Question -

Those public sector undertakings which are making profits should be privatised. Do you agree with this view? Why?



Answer -

A profit-earning PSU is that which is generating revenue for the government while a PSU is regarded as loss-making if the same PSU is inefficient and puts an undue burden on the government. Such loss-making entities should be privatized and can lead to more efficient business. Core areas of business such as Railways, Water should not be privatized as it is created for the welfare of the people as it will impact the welfare of the people. Instead of privatising profit-making PSUs, they can be granted a greater degree of autonomy in their operating activities which will increase efficiency and productivity and make them more competitive with private counterparts.

Comment(S)

Show all Coment

Leave a Comment

Free - Previous Years Question Papers
Any questions? Ask us!
×