Public and Private Sector in Bhutan

Authors: Anil Kumar

Country: India

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Abstract: On the onset of the process of economic development, least developing countries depend upon the public sector to take initiative for changing the economic condition of their economies. The Private sector of such countries is largely found in least developed stage because of the poor economic conditions of the people, high illiteracy rate, lack of entrepreneurship, and basic infrastructural facilities. The governments of least developing countries underwrite the ventures and network of prerequisites to boost their economic development. It makes huge investment in social as well as economic infrastructural facilities like education, health, water supply, network of roads, railways and airports, electricity, different kinds of industries, automation of agriculture and research and development which facilitate and boost the economic growth and raise the living standard of the people. As the infrastructural network is set up, different industries and public utilities enterprises starts come up under the control of state. They start getting payments against the services they render in the production of various goods and services. After having met their consumption expenditures, they start savings on the account of an improvement in their economic conditions. It begets the spirit of entrepreneurship among common people which develops the private sector. It increases the size of the gross domestic savings of the least developing countries, which leads to gross domestic capital formation, production, employment, and income in these economies. When people starts getting more income after working in public enterprises and government institutions, they plan to start their own business activities by setting all kind and size of industries. The origin and growth of private sector together with public sector expedite the economic activities and revolutionize their economy.

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Paper Id: 1635

Published On: 2014-01-07

Published In: Volume 2, Issue 1, January-February 2014

Cite This: Public and Private Sector in Bhutan - Anil Kumar - IJIRMPS Volume 2, Issue 1, January-February 2014.

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