The Right Privatization : Why Private Firms in Public Initiatives Need Capable Governments

Can privatization be used to supplant bad governments? Do private firms maximize profits at the expense of socially-oriented service attributes? Rather than proposing single solutions to complex social problems, Lazzarini offers a candid analysis of public and private organizations, their merits and flaws, and the conditions that make them work.

The public debate is rife with polarized views of how to deliver essential services such as education, health, and security. While some tout privatization as a way to supplant bad governments, others warn that private firms maximize profits at the expense of socially oriented service attributes. In reality, all forms of service delivery—public, private and hybrid public private-collaborations—have merits and flaws. This book scrutinizes the menu of delivery forms in public services and the conditions that should make them work. It argues that privatization benefits from capable government units committing to well-defined policy objectives, mobilizing critical resources, and incentivizing effective and inclusive delivery. Societies counting on capable governments can also reject single solutions and experiment with plural paths of improvement, where public and private organizations co-exist and learn from each other. This book will appeal to students, academics, managers and policy makers interested in examining the public-private boundary and the many ramifications of this focal issue.