Econ Quiz #2 - Econ Quiz#2 Nationalization vs Privatization...

Econ Quiz #2
 Nationalization vs. Privatization Video
o The state/gov’t needs to have some money to run the gov’t, to provide services,
such as health care, military, roads, etc.
o How does a government make money?
 Taxes
 Income tax
 Sales tax
 Control resources/businesses
 Gov’t controls business or industry so when revenue is made it is
going into the gov’t account
o Nationalization: when a state physically and literally takes over a resource or an
industry from private individuals, and takes it out of the private sector and makes
a state business.
 President of Venezula Hugo Chavez, nationalization king
 Nationalized oil, seized it
 U.S. froze all Venezuelan assets in U.S. and is suing Venezuela
 Liberal left view: support it
 Conservative right view: don’t support it