Question

When countries sell off state-owned enterprises and privatize them, it usually results in a(n)A. continuing drain on future natural resources. B. lack of accommodation of outside investors. C. increase in modernization by new investors. D. instant change in political leadership. E. decline in productivity throughout the private sector.

Answer 1

C. increase in modernization by new investors.

Step-by-step explanation:

Privatization is the transfer of ownership of property or business owned by government to a private entity.

Privatization generates capital to be invested in strategic areas and help to reduce the continuing drain on future natural resources. The new private investors causes economic growth by modernizing the acquired property or business from the government.