The relationship between the public and private sectors, the Government's role is to contribute to strengthen private business which is great overall national economy. The obvious is that government economic infrastructure development such as roads, power plants, transportation and communication, transport and other benefits to permitting private investment in various industries. In the case of groundwater, the heavy economic policy, tax, private business to be able to continue existence that is seen, it is obvious to use expansionary fiscal policy by reducing the interest rate-exchange rate policy, and Government spending to stimulate the economy, the better. That is, when they are building roads, they will have to hire labor, which will lead to a revenue be authorized to expend will lead to increased productivity and increased labour employed a chain until the economy recovered and the dynamic in the trading business, which is the purpose of the participation of the public sector is. 1. private property ownership rights and ownership of resources or inputs in accordance with the law and in some important affairs that affect the public, such as public utility undertaking relief and disadvantaged, etc. 2. the distribution and production of Exchange is in a private format, which contains freedom in economic system. But the State will intervene in affairs that affect the public. That is, as a form of economic planning in suggestive private sector and public sector's operations. 3. economic activity performed often rely on the price mechanism in the allocation of resources to solve the problem of shortage or interfering with the critical item pricing, such as minimum prices, elevated prices of agricultural products, food and define the minimum wage rate in order to help make labour etc. 4. Prevention of monopolyAdvantages 1. flexibility in operation because it can adapt to the economic situation. 2. private economic actors with competing products, so people can choose from a variety of quality products. 3. public access to government services, such as utilities, health, education and welfare, etc. 4. citizens have freedom of occupation. The disadvantages 1. the uncertainty of government management. 2. the administration of the State in certain industries, activities or services, many also lack of performance when compared to the private sector. 3. the central planning to coordinate with State, private benefit, contributing to the global concept is something that is hard to do. 4. morale or motivation for the private sector are not enough because they would risk the uncertain policy and access control as well as of the Government.Summary The relationship between the public and private sectors is inevitable if the Government does not provide support for the private sector, it will lead to many problems, as if the private sector will need to build electricity, water and roads would not be able to invest with profit margins because of the expense in the production of goods will not be competitive in the market high. At the same time. Public sector reliance on all sides, it will be impossible because of limited resources. Support from the Government, there are no serious consequences because it did not do so, it is not going to result in a positive way by intention, but that ought to be aware of is that support from the public sector, where there are restrictions such as a business, as well as private funding could be contrary to the agreement between the agro.Spices related to free trade and law enforcement are not serious, don't waste water, which equals a reduction in private sector expenditure, that is to support the private sector indirectly, which compete in the global market was unfair because goods from other countries subject to costly expense because of the part must be taken to preserve the environment, such as waste water treatment, etc.
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