Demerits of government involvement in business.
Answer Text: Demerits of government involvement in business.-Scare away investors.-May create monopoly which leads to inefficiency in production of goods and services delivery.-Government and political interference may lead to poor management.-Government business may make losses due such things as poor management of funds.-Government business sometimes offer poor services due to lack of competition.-Corruption and embezzlement of funds is common in government owned business-Operation in large scale may lead to diseconomies of scale arise.
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