When an industry or company is nationalized, the state becomes
When an industry or company is nationalized, the state becomes
- A) the majority shareholder
- B) the minority shareholder
- C) the only shareholder
- D) an equal shareholder with other individuals
Correct Answer: C) the only shareholder
Explanation
The correct answer is Option C: the only shareholder. When an industry or company is nationalized, the state becomes the sole owner of the company. This means that the government has full control over the company's operations and decision-making.By becoming the only shareholder, the state can implement policies and make decisions that are in the best interest of the country. Nationalization allows the government to regulate the industry or company and ensure that it operates in a way that benefits the nation as a whole.
It is important to note that nationalization can have both positive and negative effects. While it can help ensure that key industries are managed in the interest of the country, it can also lead to inefficiencies and lack of competition. Each country's approach to nationalization may vary based on their specific economic and political circumstances.
In summary, when an industry or company is nationalized, the state becomes the only shareholder, giving the government complete ownership and control over the company.