The relationship between the public and private sectors is the role of government on the part of the business of the private sector, which will impact on the national economy as a whole. This is clearly evident is that government economic infrastructure such as roads, power plants, transportation and logistics, communications and other benefits to facilitate private investment in the industry. If the economic slump will have their tariff to help private businesses to continue to be the obvious is to use monetary and fiscal policy, with a reduced rate of, exchange rate policy and expenditure. spending to stimulate the economy improves. That is, when the cost to build the road, they are hired labor, which will lead to a revenue making the purchasing power to buy things that will lead to increased productivity and employment increased for each other. the chain until the economy recovers and the dynamics of the trade. The purpose of public participation is
1. Private ownership of property Own inputs or resources required by law, and in some matter. And the impact on the public, such as Utility. Housing for the disadvantaged, etc.
2. manufacturing operations. The distribution and exchange of information as to form a private, which are free in the economy, but the state will have the opportunity to intervene in the matter and have an impact on the public and has a direct role in the planned economy and the private sector. operation of government
3. Economic activity, often relying on the price mechanism to allocate resources to solve the shortage. Or interfere with the pricing of major items such as minimum prices. Raise prices of food products to help determine the minimum wage workers, etc.
4. The competition has been established, but the state will intervene to ensure fairness to prevent monopoly advantages : 1. Flexibility in the operation because it can adapt to the economic situation 2. Private economic actors with competing products have quality people can consume up three. Public access to government services, including infrastructure, education, health and other welfare 4. Citizens have freedom of occupation and cons first. The uncertainty of the management of the two. The administration of the state in certain industrial activities or services, many are inefficient compared to the private sector 3. Planning from the center to coordinate the interests of the State and the private sector to benefit the public is difficult 4. Encouragement or incentive for the private sector are not enough, because the risk of policy uncertainty and be in control of the government by the relationship between the public and private sectors is inevitable if the government did not support the sector. private, it can lead to problems in the thousands so that the private sector will have to build power plants, water supply and roads would not be able to invest at a profit because the cost of production is so high that it can not. competition in the market At the same time, Reliance on government at all, it would be impossible due to limited resources. The support of the government does not seriously because they do not work hard, it will not result in a positive way intentional But the lookout is supported by the government, which has limitations, such as providing financial support to the business. organizations may be contrary to international agreements relating to trade and law enforcement is not serious as not to waste water treatment plants to reduce the expense of the private sector is considered to support the private sector, which indirectly makes. compete in the global market was not fair because the products from other countries incur costly because it costs a need to preserve the environment, such as wastewater treatment.
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