Question

In: Economics

Identify one example of privatization of security in the United States. Why was privatization used in...

  • Identify one example of privatization of security in the United States.
  • Why was privatization used in this instance?
  • Based on your research, do you agree with the assertion that the private sector can provide services more cheaply and more effectively than the government?

Solutions

Expert Solution

The privatization of security in the United States refers to outsourcing of some of the services within US intelligence and military sector. Example - Use of private security contractors "Blackwater" (also known as Xe Services and ACADEMI) that replace US troops in Afghanistan.

Privatization was used in this instance because it has been more than 16 years of military & diplomatic efforts, US could not secure Afghanistan from Taliban. The picture presented that of unending war. Even US troops lost their life in large numbers. There were concerns about US troops working in barren landscape and difficult environmental conditions.

Yes, the private sector can provide services more cheaply and more effectively than the government because, the private security are less hindered by rules & bureaucratic compliance and that they are more flexible & adaptable, best at recruiting & retaining creative talents. They have an edge in robotics & artificial intelligence based VIP protection, site security, cyber warfare and logistics.


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