BRITISH PRIVATIZATION - EVALUATING THE RESULTS

The 24 studies reviewed here reveal that nine of the 13 primary object ives of the U.K.'s privatization program have substantially been achie ved. Privatization has reduced the size and scope of government, reduc ed political interference in management decisions, freed government fu nds so they can be used in sectors of the economy other than state-own ed businesses, created a free market economy, promoted domestic invest ment, benefited the economy through higher returns on capital invested in privatized businesses, generated new sources of tax revenue, broad ened domestic equity ownership and promoted equity ownership among emp loyees of privatized businesses. Most of the research reviewed conclud es that privatization has reduced the government's budget deficit; pro vided consumers with improved service, better quality more choices, ne w products and lower prices; and improved the efficiency and performan ce of privatized firms. Finally, most of the studies reviewed report m ixed results regarding the privatization program's success at reducing government control of business.