A academic piece by Peter Wong former Student of Simon Fraser University on the fact inequality
increases due to more privatization of public authority into the private sector economy.
In our modern world, the influence of states on the citizens within the state has gradually decreased. This is largely due to increase awareness of the existence of life outside professional work life. An example would be the Catholic Church in the leadership position in civil society.
Our reason for importance of separate public from private authority is based on a particular school of thoughts; Marxism explanation of the world. Our central theme; according to Marxist ideologies, is the importance of separation of public and private authority is essential to the explanation of the inequality in the economy life of the modern world.
The three major points separation of public/private authority would help explain economic inequality is firstly the issue of who owns the private sector and who is in control of the private sector authority. The second point is the traditional differences between public state sector and economic interest versus comparison with the private sectors interest. The third point is according to Marxist interpretation what the trend of these two different interest sectors is leading into in the future. Afterward their will be a critique and interpretation of these trend along with alternative options and concluding thoughts.
We will now begin to discuss the issue of who is in charge of private authority according to Marxist analysis and reason of relevance to be put in separate category from the public system. Separate category needed between public and private authority is important in Marxism is because different interest groups are in charge of the two systems. For now, we will ignore the public system.
According to socialism, private authority is totally controlled by the elite rich few in 100% and they are a very small numerically group in any society on the planet. The reason being in private authority such as TNC, this small group always owns the owner of the means of production and is always not needing a public consensus by the people who are without any power in the decisions making.
Also relevantly, the fruits and reward of private authority is always benefiting the few. As well as importantly, it is important to separate the public from the private sector to Marx is because these two systems have autonomous power from each other. From a socialist perspective, the private authority such as TNC can make decisions without approval or serious consultation from the public sector authority. A common sense knowledge example would be wages and employment in TNC. TNC can hire people and paid wages that are below or very different from the public sector without consulting public sector authority.
Also important to Marx for the separation of public and private sector authority is because the working conditions of the employees in these two sector of authority is very different. An example using private sector authority is their ability to set up factories which paid zero wages in developing world, which is not allowed in the public sector authority economy.
In last word, the separation of public from private authority is important in Marx is because is the interests of these groups and their purpose and goals of achievement is very different. They are in socialist perspectives different end of the political spectrum in civil society's vision of economy.
We will now begin the second subtopic of who is really in charge of private sector authority/ differences with public, the relevant importance for being a separated category. Marxist believe public sector authority should be separated from private reason being unlike the private sector, the state economic system is not totally controlled by the rich elite few. At least in the west, the public authority is being contested by unions, socialist election candidates against the elite few, meaning to the very least regular citizens and the poor have some pockets of control and influences of the system. There are critique of this limited equality and there are societies whereby the elite rich few have no control over the pubic or private economy like China, but for now we will discard non-western system until the last section subgroup of critique.
Marx sees separation of pubic sector form private sector as important because of also the different interest group of public authority. Unlike the private corporations, the shareholders of the public economy authority are voters, who are numerically large and numerous. While the elite few can from parties and tries to win governments, there is no 100% they will on the question of always capturing majority seats party.
As in the last section I mention the concepts of ownership of means of production, and unlike the private sector economy the elite few does not totally own the state economy, because the tax revenue does not only come from the employers or shareholders of companies.
In this section, we discuss the future trend of the public/private relations in the economy through Marx's perspectives. In the beginning of the central point we assert understanding separation of public/private is essential to explanation of inequality in Marx's system. According to most left leaning traditional views the future will be more push of less state control and less public sector as profits are accumulative, we can see that now only because have go through the previous sections of the different interests in playa in the two sectors.
