Question

Which of the following is/are the criticism on privatisation in India?

• A. It led to growth of power in hands of big business houses
• B. It has no social welfare objectives
• C. It does not take up risky projects
• D. All the above

Answer 1

Answer: (D)

All the above

Privatisation refers to transfer of assets or different forms of economic activity from the public to the private sector. Reasons for privatisation include Inefficiency of Public Sectors. Though it has many benefits there are few drawbacks involved in it too. These drawbacks are: it led to growth of power in hands of few big business houses, it has no social welfare principles, it does not take risky projects, it exploits employees etc.