Abstrack
In recent time, government expenditure on public and other ad-hoc
establishments has been on the increase. This can be attributed to the resolve of
govenunent for rapid and accelerated development including the welfare of the
citizen hence, the underlying objectives in the establishment of public enterprises
and corporations.
Thus, the principle of limited government restricts the government only to
its traditional statuto1y role of maintaining Law and order plus the provision of
basic Infrastructures. However, the evolution of monopolistic capitalism and the
attendant market failme (recess) in the 1930's led to the total adoption of an
economic policy prescribed by Keynes, which is othe1wise called the Keynesian
theory o n economy. These prescriptions helped to get the world economy out of
the depression. The prescriptions had formed the underlying factor of public
enterprises and above all government intervention and participation in economic
activities. There have also been some controversies over the establishment of some
of these public Institutions, which led to series of political cum-economical and
academic debate. These debates attempt to rationalize the establishment of some
of these Institutions. While in some instance, there have been calls for their
dissolution.
