Identify Savas Four strategies of privatization Research Paper

Identify Savas Four strategies of privatization - Research Paper Example There is no unanimous agreement on the set of words to define privatization. However, the word, in most cases, is associated with the ideological approach that involves the private sector, either partially or totally, to achieve public goals. E.S. Savas compares it to the exchange of roles between the government and the private segment (Hodge, 2006). Savas outlines various approaches through which government can implement privatization. Load shedding is one of the strategies. In this case, the government loses part or the whole of its ownership to private operators (Lawther, 2000). When left in the hands of the government, most of the enterprises become exploitive. Application of user charges is another strategy. To improve the economic society, goods and services that are provided directly by the government can be subjected to such charges. This aims at disclosing the real costs of the goods and services preventing any inclusion of unwanted expenses (Kemp, 2007). The third strategy is the introduction of competition. Most public sectors and cartels do not embrace competition which is, however, essential in improving public services. When there are various institutions interested in the same market, competition automatically arises (Otenyo & Lind, 2006). This gives customers a wide range of choice leading to appreciation of high quality products only. Finally, another way to privatize enterprises is by limiting government involvement in business procedures such as by making grants through the private sector (Hodge, 2006). This simplifies the public’s effort to assess the growth and development projects. Privatization is an essential practice in all aspects of life. In Florida, there has been continuous urge to privatize the prison system. Earlier this year, the state governor, showed deeper in implementing the same. Legislators who pioneered this idea typically consulted the Savas’ privatization strategies. According to the department of corrections,