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State vs. Market Debate: Public Administration Video Lecture | Public Administration Optional for UPSC (Notes)

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1. What is the State vs. Market debate in public administration?

Ans. The State vs. Market debate in public administration revolves around the roles and responsibilities of the government (the state) versus private sector entities (the market) in providing public services and managing resources. Proponents of the state argue that government intervention is essential for ensuring equitable access to services and protecting public interests, while advocates of the market emphasize efficiency, innovation, and cost-effectiveness that private entities can bring. This debate examines the balance between regulation and free enterprise in achieving effective governance.

2. How does the State vs. Market debate impact public policy formulation?

Ans. The State vs. Market debate significantly influences public policy formulation by shaping the priorities and approaches taken by policymakers. When the state is emphasized, policies may focus on regulation, social welfare, and public goods provision. Conversely, when the market is favored, policies might prioritize privatization, deregulation, and competition. Ultimately, the balance between these two perspectives affects how resources are allocated, the quality of services delivered, and the overall effectiveness of governance.

3. What are the advantages of a state-led approach in public administration?

Ans. A state-led approach in public administration offers several advantages, including the ability to ensure equitable access to essential services, protect vulnerable populations, and maintain social order. It can also facilitate long-term planning and investment in infrastructure and public goods that may not be profitable for private entities. Additionally, government oversight can help regulate industries to prevent monopolies and ensure consumer protection.

4. What are the criticisms of a market-driven approach in public administration?

Ans. Criticisms of a market-driven approach in public administration include the potential for increased inequality, as private entities may prioritize profit over social welfare. This can lead to reduced access to essential services for marginalized groups. Moreover, market failures, such as monopolies or externalities, can occur without adequate regulation. Critics also argue that relying solely on market mechanisms may undermine the public interest and lead to a lack of accountability in service delivery.

5. How can a balanced approach between state and market improve public administration?

Ans. A balanced approach between state and market can enhance public administration by leveraging the strengths of both sectors. By combining the efficiency and innovation of the market with the equity and accountability of the state, governments can create a more effective service delivery system. This hybrid model allows for competitive practices in some areas while ensuring that essential services remain accessible to all citizens, leading to improved outcomes in public governance and administration.

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Sep 29, 2025 Last updated

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	Public Administration Optional for UPSC (Notes) 58 videos\|242 docs

Public Administration Optional for UPSC (Notes)

58 videos|242 docs

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