Government is thinking of increasing efficiency of PSUs through their privatisation. So today we will discuss why privatisation is not good and will be eventually harmful for out country in long term?
Privatisation a capitalist economy on seeing it seems very attractive and it seems that everything is going to be okay in our economy through this, because everything is going to be handed over to laissez-faire economy,but they question is- is it good for economy? The answer is Very complicated and difficult but according to me it is good for short term or you can say that it seems beautiful from outside. Leave this, Indian economy is a mixed economy and it should create an example of that. Wherever I didn't see any government's work which depicts that. Government should amend the constitution and remove the word that India is a mixed economy and add the word that India is a capitalist economy because there I am not able to see any sign of mixed but capitalist.
According to me government is going in wrong direction by disinvesting from almost every sector of their responsibility. The consequences of these changes will be felt in long term as consequences of demonetisation and without proper preparation early implementation of gst can be seen today.
Instead of privatisation, government should incentives good work, service in the PSUs and you may think where the money come from? So let me clear you that government need not to expense money from its treasure but cut from wrong performing employees. Next question would you ask is that suppose if every government employee working fine,the answer would be don't give them extra money but within their salary design things in a way to encourage them for their work and it can also be done through other measures.
Crux of the discussion is that India is a mixed economy and it should be treated in that way otherwise this is not correct time to move to capitalist economy because you probably know how much poor population live in our country and how many people even can't afford two meals a day. This Will be disastrous for all of them.