Deprivatization also encourages competition, which leads to lower prices and higher quality for consumers.
“There are at least two reasons why markets have been more successful in than central planning in large economies.
“Investors have over the years developed the firms they acquired and this has added value to the firms over the years, previous loss making firms have been improved by these investors who have converted the firms into profit making firms.
Disclaimer: This work has been submitted by a student.
The local government and politicians will be able to wield their influence on the organization, which may or may not be in the best interest of the country as a whole.
Those who lose are the foreign investors, the citizens of the country and the local economy.
In order to protect herself, Peter’s mother fled and Peter soon followed her to an estate outside Moscow.
Peter rarely went into Moscow leaving the running of the government to Sophia and her ministers, but when he was in Moscow, he and Ivan held public court with Sophie sitting in behind them ( a hole was cut out of the throne chair for her) giving advice and making decisions.
Politicians began promoting deprivatization, which meant reversing previous privatizations and either having the state run them or reselling them to other entities.
As the privatization laws in Russia were not clearly defined, the reversals could occur due to something as simple as a paperwork error.