This question was not very popular with the candidates Most of the candidates who attempted this question gave definitions of privatization which were not appropriate. Candidates answers in the (b) part of this question also fell short of expectation as most candidates could not give correct reasons for government participation in economic activities

However, to score high marks Jl1 this question, candidates were expected to answer it as follows:
(a) Privatization is the transfer to private ownership and control assets or enterprises which
were previously under public ownership.
(b) Reasons for govcmmcnt participation in economic activities include:
(i) To provide necessities
(ii) To make up for inadequate domestic capital
(iii) To establish ideology
(iv) For national sea-preservation
(v) To protect the economy from private monopolies
(vi) To avoid waste through unnecessary competition
(vii) To carry out government policy e.g. the Central Bank.
(viii ) To avoid subsidizing a private enterprise for too long.
(ix) To provide employment.
(x) To provide basic amenities.
(xi) To create wealth for the common good.
(xii) To bring about even development