The protruding implications of privatization: attractive potentials leading to unpleasant consequences

Abstract

Privatization has become a worldwide trend in public management for reducing the burden on public bureaucracies, ameliorating the fiscal deficits and contributing towards efficiency in service provision. Though the intention of the government carries attractive potentials, it results in unpleasant consequences. Like many governments worldwide, the Hong Kong government has followed this path too. A focus on the privatization launched by Hong Kong Housing Authority (HKHA) demonstrates that the reform failed to achieve its objectives. The article traces the implementation of these changes and assesses their impacts on the government at large.

Keywords:

• privatization
• market orientation
• efficiency

Notes