WAEC Economics 1998 Theory question 104

Theory question 104

Business Organisations

Section B: answer three questions only from this section.
Give any five reasons why public corporations are established in Nigeria.

Show the model answer
Model answer

To provide essential services (water, electricity, rail transport) at reasonable prices
To prevent private monopolies exploiting consumers
Huge capital required is beyond private investors
To control strategic industries for national security
To provide services that are not profitable enough to attract private firms
To create employment
To generate revenue for government
To reduce foreign domination of the economy
To promote balanced regional development

Explanation

Five reasons, each explained briefly.