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Re: On privatisation of public sector

Administrative Note:

Week's Agenda: Economy

> There is enormous comparative work in this area done by the World Bank
> and
> others, on the experiences good and bad of e.g. the UK, the Czech
> Republic,
> Russia etc.
> In India a lot of "nationalization" occurred when private capital had
> made
> bad decisions and were unprepared to take losses;  these costs were
> then
> transferred to the taxpayer;  now the likely candidates for
> privatisatiuon
> would be the relatively profitable enterprises, where the same private
> capital interests who had made the bad decisions might well reap the
> benefits of the public sector for a song.  Sometimes a quasi-Marxist
> position of collusion between private capital and Government is the
> only way
> for a classical liberal to make sense of Indian facts!  SR

Even though this kind of class analysis is popularized by Marxists, it
origins are actually rather anarchist or libertarian.  There is a whole
literature on libertarian class anaysis (writings of Murray Rothbard,
Leonard Liggio, etc).  In a very general form, two critical classes in
it are tax-payers and tax-eaters.  Tax eaters could be any one at a
given point in time--Marxist labor unions to swadeshi capitalists.  They
are all eating some one else's produce.parth-

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