Nationalization is the collective or public ownership or management of economic resources. In contrast to privatization, nationalization, is the act of taking an industry or assets into the public ownership of a national government or state.
Nationalization is to bring assets like land or an industry under State control or ownership. The reason for nationalization can be political as well as economic. Nationalization can also mean convert into the property of the State.
Soviet Union under Lenin was the first government to initiate a complete nationalization of industry. The Soviet government's first nationalization decree came on June 28, 1918. It brought enterprises of over 1 million rubles of capital under state ownership.
Some nationalizations are known as expropriations as
there is no compensation, or an amount far below the likely market value of the
nationalized assets, is paid.
Soviet Cinema and State Control: Lenin's Nationalization Decree Reconsidered.
Kepley, Vance, Jr. Abstract: Proposes a revisionist account of the immediate conditions and consequences of the 1919 Soviet cinema nationalization decree. Argues that nationalization was the least successful of a set of stop-gap measures; that it dispersed and diluted control; and that it actually retarded the growth of the film industry.
Bank Nationalization: What Is It? Should We Do
Douglas J. Elliott, Fellow, Economic Studies, Initiative on Business and Public Policy
Bank nationalization is the topic du jour in Washington and on Wall Street. Citigroup has essentially proposed a partial nationalization that would give the government 30-40% ownership. The stock market, for its part, is so concerned about the possibility of wider bank nationalizations that key Administration and Fed officials are spending much of their time trying to calm the markets by underlining their desire to avoid nationalization.
Nationalization can be a confusing topic because it means
different things to different people and there are a variety of reasons given by advocates
for supporting such a move. This paper explains the various meanings and purposes of
nationalization, lays out a framework for evaluating the necessity and
usefulness of bank nationalization. The authors previous paper, Bad
Bank, Nationalization, Guaranteeing Toxic Assets: Choosing
Among the Options.
The background: Why might widespread nationalization be necessary?
What does it mean to nationalize the banks?
What would be the purposes of nationalization?
What are the arguments against nationalization?
How has nationalization worked previously in the U.S. and internationally?
How could nationalization be implemented most effectively?