DECA+ Business Management and Administration Practice Exam

Disable ads (and more) with a membership for a one time $2.99 payment

Boost your business management skills with the DECA+ Business Management and Administration Exam. Practice with interactive questions, hints, and detailed explanations. Ace your exam today!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

What does nationalization refer to?

The privatization of government-owned enterprises
The transfer of ownership of assets to the government
The process of deregulating industries
The selling of state-owned corporations to private investors

The correct answer is: The transfer of ownership of assets to the government

Nationalization refers to the transfer of ownership of assets and industries from private individuals or companies to the government. This process often involves the government taking control of important sectors of the economy, such as natural resources, public utilities, or financial institutions. The rationale behind nationalization can vary but usually includes reasons such as wanting to ensure public welfare, maintaining control over essential services, or addressing issues of economic inequality. By doing so, the government aims to align the operation of these assets with national interests and public policy goals. In contrast, the other options focus on concepts related to privatization and deregulation, which involve reducing government control and increasing private ownership and market competition, rather than the process of transferring ownership to government authority.