privatization theory

Privatization theory refers to the idea that transferring public services or assets to private ownership can improve efficiency and quality. Proponents argue that private companies, driven by profit motives, can operate more effectively than government entities. They often believe competition leads to better services at lower costs. Critics, however, caution that privatization can lead to reduced accessibility and accountability, especially for essential services. The debate centers around finding a balance between public good and market efficiency, considering the potential social impacts of handing over public resources to private interests.