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The debate between the public and private sectors
Economical 2023/08/16
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Aqil Jabr Ali
In today's world, the basis for the effective functioning of the economy is the diversity of ownership forms, as the presence of enterprises with different forms of ownership leads to healthy competition in the market necessary for more productive activities of enterprises.
There are different views of economists on the need for state regulation of the economy, some believe that the market should be regulated automatically, and state participation should be reduced to a minimum, others, on the contrary, argue in the role of the state in complete monopoly, states in the market is a source of growth. The expected methods of work, the use of a specific study, the method of analysis and synthesis, the economic and statistical method, the method of comparative analysis, and others.
There is an evaluative and institutional need to prepare a solid theoretical justification for the place and role of the public and private sectors in modern conditions, their comparative analysis, and identification of the characteristics and prospects for the development of the sectors. Methods of work: It is possible to study the adoption of the analysis and synthesis method, the economic and statistical method, and the comparative analysis method.
Results, the opinions of local economists on the ratio of the public and private sectors are considered, and the data for the period 2003 — 2020 characterizing the dynamics of development of sectors and the number of people working in them, the positive and negative aspects of sector development, the advantages and disadvantages of working in private and public enterprises are analyzed. Scope of application of the results. Here, the results of the study can be used by state structures in developing plans to diversify an active partnership of the private sector of the economy, as well as in improving the processes of transferring property relations, re-mobilizing and directing capital.
Achieving balance in the economy by finding the optimal ratio of the public and private sectors, each with its own development potential, is not only of theoretical importance, but also of practical importance. Equal performance of the two sectors contributes to the formation of a competitive environment and is an incentive for more efficient production. At the same time, monopolizing one sector is undesirable, because each of them has its own characteristics. Weaknesses in one sector must be compensated for by another. Sector imbalances can create the wrong kind of social structure.
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