Final answer:
Privatization refers to the selling of state-owned enterprises to private owners, and it is a trend reinforced by many developing countries to increase efficiency in public services.
Step-by-step explanation:
Privatization refers to the selling of large state-owned enterprises to private owners in key areas such as electricity, telecommunications, or petroleum. This trend has been reinforced by many developing countries as a way to increase efficiency and productivity in public services. For example, in India, privatization efforts in industries such as airlines, shipbuilding, telecommunications, electric power, and heavy industry have resulted in increased productivity and efficiency, although it has also led to higher prices and loss of access to services for the public. One form of privatization is divestiture, where government services are transferred to an entirely market-based, private environment. Another form is third-party financing, where the government forms a special-purpose vehicle with a private entity to finance large infrastructure projects. Privatization can be a complex process and may have initial hardships, but it is advocated by organizations like the World Bank and the International Monetary Fund as a way to make public services more efficient. In summary, privatization refers to the selling of state-owned enterprises to private owners in key industries. It is a trend reinforced by many developing countries to increase efficiency in public services, although it can have challenges and consequences.