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FEN Blog > July 2010 > Relief for public sector financial woes: Privatization

Relief for public sector financial woes: Privatization

7/14/2010 11:43:48 AM by Jeri Risin
Filed under: Privatization

Privatization remains a controversial issue in the United States. However, there are many examples of why it works, and how it has worked in the past. According to Leonard Gilroy, editor of the 2009 Annual Privatization Report,” privatization can be done well, or it can be done poorly.” There are many examples of how privatization can be done well.  Cities like Phoenix and Philadelphia have seen positive results from privatization, as well as states like West Virginia.  Specific organizations, like private prisons, have also demonstrated that privatization can work.

Our spotlight report gives many examples where state and local governments have found success in privatization.



Comments
Howard's Opinion
It's common sense that private companies will work more streamlined than public run entities. Almost every privatization effort, except some of the most ill-conceived have been major success stories. The only asterix to this story, is the ability to hold onto the windfall of savings that privatizing saves. There are cases when a revenue stream that may have lasted for 40 years, is sold for a onetime payout to a private company, and all the money is spent within six months. This leaves the next generation missing an integral revenue stream to their fiscal sustainability for the future.

Howard Out
8/2/2010 2:56:18 PM

Luke Jones
Amazing how private companies can do the same work, earn a profit, and still save money. It is a really telling sign as to the level of excess and fraud within government work.
8/2/2010 3:00:26 PM

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