The private sector consists of companies which are privately owned and therefore not a part of the federal government. These tend to include private partnership firms, partnerships, LLCs, and corporations. An easier way of thinking of this sector is by considering non-regulated private organizations, which are not governed by statutory requirement. statutory requirement states that any person acting on behalf of the government must be registered with the Secretary of State. Statutory requirement only state things that have to be done, such as a minimum contract between the government and the company, or something similar.
Private sector jobs are considered high in demand due to their flexibility, less strict regulations, and potential for career growth. The private markets have more opportunities to research, innovate, and obtain new business opportunities. Also, due to the lower overhead and lower overheads from private markets compared to public sectors, the private markets have a lower barrier of entry and therefore more innovative and successful start-ups can occur. Another factor impacting the job market in the private markets is that there is less stigma attached to being a whistle blower. In the public sector it is common practice for whistle blowers to be fired, not promoted, or even face severe repercussions for reporting illegal activity.
In terms of job creation in the private sector versus the public sector, the private sector has far more opportunities for professionals who already have experience in higher level roles in the public sector. There are many examples of this type of professional, most notably in the field of environmental compliance. These professionals may start out as employees of companies that are either directly or indirectly controlled by a municipal government, including water treatment and sanitation districts, or directly employed by a utility company that provides local public utilities. As time goes by they may go on to work for state and local municipalities as well.
One issue plaguing the public sector, especially the large cities, is pension and healthcare costs. In the early 2000s, Florida became the center of attention when it was discovered that the retirees of the city of Miami had received large payments from two different private companies in exchange for accepting stock options in those companies. The retirees received a payment from one of those companies in excess of $100k per year. The entire pension system was under investigation at the time. Because of this and other issues, the state of Florida and the City of Miami were taken to court over the way the pensions were awarded.
Historically the public sector has had a much larger impact on food supply than the private sector. Food safety regulation has historically been regulated by state and federal agencies. However, because the private companies now control most of the food supply, regulation has become weaker and some areas of the food supply have become much more lax. Also, because of the increasing costs of food and because of lower revenues that many states are experiencing the number of lawsuits against companies has risen significantly.
Markets do not respond to the public authority or the management of these markets. The grocery stores and drugstores have a very strong influence on the grocery industry because the wholesalers and retailers control the prices and the profit margins. There are currently two major trends impacting the retail and wholesale sectors. One trend is a consolidation and the other trend is an increase in small independent shops and local business. The trend that is impacting the wholesale sector is the increasing consolidation of wholesalers and direct manufacturing companies.
Private liquor sales in the United States are regulated by state government laws. Although most liquor sales have been highly profitable, in some states including Oregon and Washington, wholesalers have been forced to raise their prices because of union organizing and successful strikes by grocery workers. This has caused more people to use the cheaper alcohol and thus the prices have increased even further.
One way that the private sector can use privatization as an argument for not outsourcing is to show that it will result in higher taxes to the public sector. However, this is extremely unlikely because states are already taking the highest level of taxation in the developed world. Privatization is only likely to increase government revenue slightly. The argument for outsourcing is that it will decrease competitiveness. Whether this is true or not, the overall impact of privatizing the United States economy will be a large increase in taxes to the average American citizen.