This research examines the issue of privatization, with a specific focus on the privatization of telecommunications ser vices. The findings of this examination are presented in two major discussions. The first discussion deals with telecommun ications privatization generally, while the second discussion considers the appropriateness of telecommunications privatiza tion in Turkey.
TELECOMMUNICATIONS PRIVATIZATION, GENERALLY
In examining the issue of the privatization of telecommun ications services, consideration is given to the private versus the public provision of goods and services, alternative approaches to privatizing services, and national experiences with the privatization of telecommunications services. The private versus the public provision of services is at the core of the privatization issue, while the alternative approaches to privatizing services enable economies structure the delivery of goods and services in a quasi public context, as well as in all public or all private contexts. National experiences with the privatization of telecommunications services provide a basis for assessing the appropriateness of telecommunications priva tization in Turkey.
Private Versus Public Provi sion of Goods and Services
When political and philosophical factors are not para mount, choice in economic organization is typically determined on the basis of which type of organization will provide a spe cific benefit at the least possible cost (Gwartney, Stroup, and Studenmund, 1989). The public sector or government, as is true of private competitive enterprise or private monopoly enterprise, is an alternative form of economic organization (Gwartney, Stroup, and Studenmund, 1989).
When competitive enterprise is the basis for the produc tion of goods and services, a one to one correspondence exists, with respect to payment, between consumer and producer. With respect to pure public goods, however, the one to one rel...