ABSTRACT
This chapter examines what appears to be the basic set of rationales that lie behind privatization policies. It focuses on what government officials might themselves have in mind in pursuing these policies. The chapter explores several models that specify the international sources and dynamics of privatization. Privatization programs across developed and developing countries can be understood only with an appreciation of their international context—an international context that influences policy at several levels. At one level the international context is economic. At another level, the international context is political: government elites monitor and, at times, emulate or learn from policy innovations developed elsewhere. There are three general ways of characterizing the international dimensions to the phenomenon. The first regards them as spurious correlations and denies the existence of real international connections. The second interpretation appeals to common underlying economic and technological changes. The third interpretation stresses international interaction.
