How to Privatize Successfully – Part I

Changing the economic system is not an easy task. And, of course, it is more complex when carried out half-heartedly. As privatisation is only a part of this process, it may not succeed if done in an isolated manner. It needs certain other changes and a competitive environment to bear fruit.
A case in point is Czechoslovakia. It provides us with a very good learning experience to see how after the fall of a collectivist state the gigantic task of changing the economic system was handled.
Presently, Dr Vaclav Klaus is

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Poor show

The credit for any reduction in poverty in the country goes to privatisation, de-regulation and liberalisation, not to the so called pro-poor expenditures.
Over a period of five years between 1999-2004, the government of Pakistan spent Rs.1 trillion on poverty reduction. According to the Finance Ministry, Poverty Reduction Special Programme included budgetary and non-budgetary expenditures both by the federal and provincial governments.
Now, the ‘Labour Force Survey 2005’ (first two quarters) reports that over the last five years, the government has spent a hefty amount of Rs.1332 billion on poverty-related and social sector programmes to help the poor and vulnerable

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