Problem
Nationalization of domestic enterprises
Nature:
Nationalization is the process by which government alters or terminates control or ownership of an private enterprise and transfers the assets or share capital to the state or to a state-controlled body. Nationalization, although similar to expropriation, differs from it in motive and degree. It is usually associated with the implementation of communist or socialist theories of government, and tends to be applied to major domestic industries whose control and policies influence social and political questions beyond the economic sphere. Compensation, if any, received by the original owners of the enterprise may be inadequate and unfair.
Broader Problems:
Collectivism Aggravates:
State monopolySpeculative flight of capitalNationalization of foreign investmentsInadequate development of enterprises in developing countries Reduced By:
Privatization of public servicesStrategies:
Promoting nationalization of domestic enterprisesCautioning against nationalization of domestic enterprises Subject(s):
Amenities → HouseholdsCommerce → Business enterprises
Government → Public
Related UN Sustainable Development Goals:
Problem Type:
D: Detailed problems Date of last update
04.10.2020 – 22:48 CEST