Returns to Investment and Efficiency in Public Enterprises in India

This book would be found of great interest to students, teachers, and planners and administrators of public sector. The measurement of performance is fraught with problems, and more so in public sector burdend with social obligations. There has been increasing concern over the issues connected with public sector performance both in the parliament and in the press. Public sector is a vast and varied terrain of which no one can pretend to claim familiarity with more than a fraction of it. The inter-firm data are difficult to compare for there are differences in structure and management. The Study is based on the published data in annual reports by Bureau of Public Enterprises, New Delhi on the working of industrial and commercial undertakings of the central Government for annual presentation to the Parliament. The present study, based on empirical evidence, reveals that not all public enterprises under Central Government selected in the sample are bad performers as measured by the traditional profitability ratios. There is much that public enterprises can take credit for and there is much that needs improvement. The enterprises under the group of petroleum and chemicals have done exceedingly well. Comparisons are difficult to make because of differences in concepts, texture, advantages, access to credit, and quality of management. This book is a welcome addition to the continuing debate over the issues concerning public sector performance evaluation. This book presents a valuable study not only to policy makers, researchers of public sector enterprises but also to these interested in questions of performance evaluation in these enterprises.