ABSTRACT
Distribution is such a sensitive issue in the context of privatization that it has often given rise to disputes among those who would otherwise have no difference of views in relation to privatization. Some idea of just how contentious it can sometimes be may be had from the recent controversy in Italy as a result of which the Italian Minister of Industry resigned over the sale of Banca Commerciale Italiana.1 Serious doubts have been raised about the distributional implications of programme sin other respects regarded as successful, including those of Mexico and the UK.2 Mexico, which has organized the divestment of 940 of its 1,155 enterprises to date for $21bn., is estimated to have experienced the consequential loss of 400,000 jobs since 1983 and an increase in rivalry among the thirteen rich families which benefited from the exercise.3
