« When State Enterprises Are Run At A Loss Who Benefits? » by R.M.B Senanayake

Mr. Mohan Samaranayake and some University Professors who participated in the election campaign debates on Sirasa TV echoed the President’s claim that he had not privatized a single State Enterprise but instead had taken back to the State the enterprises like the Sugar Corporations which were privatized by previous regimes. All this is said as if the interests of the people were furthered thereby. Since most of these speakers had a Marxist orientation they have to be reminded that the Marxists see the State Enterprises as instruments to accumulate capital which is prior necessity for development. They say such capital accumulation unlike similar capital accumulation by the Capitalists will be invested thereafter in the interests of the people instead of the interests of the Capitalists. But destruction of Capital instead of its accumulation was never contemplated by the Marxists and vitiates the rationale for the State running business enterprises.

via: https://www.colombotelegraph.com/index.php/when-state-enterprises-are-run-at-a-loss-who-benefits/


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