The Private And Public Sector

The private sector

The private sector consists of small, medium and large scale businesses

The owners of these businesses are individuals who have set up on their own

The main goal of private sector businesses is to make a profit

Characteristics

• To make a profit

• Profits are shared (investors and shareholders)

• Funded by owners

• No government intervention

• Owners make their own decisions

Started through:

• Loans

• Savings

• Investors

• Selling of shares to the public

The public sector

• The public sector consists of enterprises owned and run by the government

• The main aim of the public sector is to support/supply the public

Examples

• Hospitals

• NWC (National Water Commission)

• JPS (Jamaica Public Service)

• JDF (Jamaica Defense Force)

• Banks

• JUTC (Jamaica Urban Transit Company)

Characteristics

• Aims to provide a service at the lowest possible cost

• Funded by the government

• Usually participates in the ventures of basic necessities

• Uses the profits for the efficiency of the business

Source of Money: Tax