25-723: The National Railroad of Mexico ( Ferrocarril Nacional de México ) was one of the primary pre- nationalization railways of Mexico . Incorporated in Colorado in 1880 as the Mexican National Railway ( Ferrocarril Nacional Mexicano ), and headed by General William Jackson Palmer of the Denver and Rio Grande Railway , it completed a 3 ft ( 914 mm ) narrow gauge main line from Mexico City to Nuevo Laredo in September 1888 after an 1887 reorganization as
50-409: A different political party or faction is in power. A re-nationalization process may also be called "reverse privatization". Nationalization has been used to refer to either direct state-ownership and management of an enterprise or to a government acquiring a large controlling share of a publicly listed corporation . According to research by Paasha Mahdavi, leaders who consider nationalization face
75-482: A dilemma: "nationalize and reap immediate gains while risking future prosperity, or maintain private operations, thereby passing on revenue windfalls but securing long-term fiscal streams." He argues that leaders "nationalize extractive resources to extend the duration of their power" by using "this increased capital to secure political support." Nationalization can have positive and negative effects. In 2019 research based on studies from Greenwich University found that
100-426: A government to take property in certain situations. Due to political risks that are involved when countries engage in international business, it is important to understand the expropriation risks and laws within each of the countries in which business is conducted in order to understand the risks as an investor in that country. Studies have found that nationalization follows a cyclical trend. Nationalization rose in
125-545: A strategy to build socialism, more commonly nationalization was also undertaken and used to protect and develop industries perceived as being vital to a nation's competitiveness (such as aerospace and shipbuilding), or to protect jobs in certain industries. Nationalization has had varying levels of support throughout history. After the Second World War , nationalization was supported by social democratic and democratic socialist parties throughout Western Europe, such as
150-401: Is the seizure of private property by a public agency for a purpose deemed to be in the public interest. It may also be used as a penalty for criminal proceedings. Expropriation differs from eminent domain in that the property owner is not compensated for the seized property. Unlike eminent domain, expropriation may also refer to the taking of private property by a private entity authorized by
175-867: The Mexican government gaining control of the National. Finally, in 1906, the Hidalgo and Northeastern Railroad , from Mexico City northeast to Tortugas , Pachuca , and Irolo , became part of the National Railroad of Mexico's system. Six years after the government gained control, the properties of the National and Hidalgo and Northeastern were transferred to the Ferrocarriles Nacionales de México ( National Railways of Mexico ) in January 1909. (The Michoacán and Pacific, Interoceanic, and
200-604: The United States are also known as local exchange carriers . With the advent of mobile telephony , telecommunications companies now include wireless carriers , or mobile network operators and even satellite providers ( Iridium ). Over time software companies have also evolved to perform telephone services such as: Net2Phone , WhatsApp , and others. In 1913, the Kingsbury Commitment allowed more than 20,000 independent telecommunications companies in
225-451: The commanding heights of the economy ), and in many jurisdictions such entities have no history of private ownership. Nationalization may occur with or without financial compensation to the former owners . Nationalization is distinguished from property redistribution in that the government retains control of nationalized property . Some nationalizations take place when a government seizes property acquired illegally. For example, in 1945
250-516: The public ownership of a national government or state . Nationalization contrasts with privatization and with demutualization . When previously nationalized assets are privatized and subsequently returned to public ownership at a later stage, they are said to have undergone renationalization . Industries often subject to nationalization include telecommunications , electric power , fossil fuels , railways , airlines , iron ore , media , postal services , banks , and water (sometimes called
275-649: The 1960s and 1970s, followed by an increase in privatization in the 80s and 90s, followed again by an increase in nationalization in the 2000s and 2010s. The term appears as "expropriation of expropriators ( ruling classes )" in Marxist theory , and also as the slogan "Loot the looters!" ("грабь награбленное"), which was very popular during the Russian October Revolution . The term is also used to describe nationalization campaigns by communist states , such as dekulakization and collectivization in
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#1732791005980300-544: The British Labour Party . In the United States, potentially nationalizing healthcare is often a topic of political disagreement and makes frequent appearances in debates between political candidates. A 2020 poll shows that a majority (63%) of Americans support a nationalized healthcare system. A re-nationalization occurs when state-owned assets are privatized and later nationalized again, often when
325-457: The French government seized the car-maker Renault because its owners had collaborated with the 1940–1944 Nazi occupiers of France . In September 2021, Berliners voted to expropriate over 240,000 housing units , many of which were being held unoccupied as investment property. Economists distinguish between nationalization and socialization , which refers to the process of restructuring
350-632: The Mexican National Railroad . At its north end, the Texas Mexican Railway , owned since 1883, ran east from Laredo to the Gulf of Mexico at Corpus Christi ; a second Gulf connection was completed in 1905 through a branch from Monterrey to Matamoros . Other branches included a cut-off from Mexico City through Querétaro to Celaya and an incomplete Pacific extension from Acámbaro to Uruapan . (Another piece of
375-514: The USSR . However, nationalization is not a specifically socialist strategy, and Marxism's founders were skeptical of its value. As Engels put it: Therein precisely lies the rub; for, so long as the propertied classes remain at the helm, nationalisation never abolishes exploitation but merely changes its form — in the French, American or Swiss republics no less than in monarchist Central, and despotic Eastern, Europe. Nikolai Bukharin also criticised
400-513: The distinction between a telephone company and ISP has tended to disappear completely over time, as the current trend for supplier convergence in the industry develops. Additionally, with advances in technology development, other traditional separate industries such as cable television, Voice-over IP (VoIP) , and satellite providers offer similar competing features as the telephone companies to both residential and businesses leading to further evolution of corporate identity have taken shape. Due to
425-408: The economic framework, organizational structure, and institutions of an economy on a socialist basis. By contrast, nationalization does not necessarily imply social ownership and the restructuring of the economic system . Historically, states have carried out nationalizations for various different purposes under a wide variety of different political systems and economic systems . Nationalization
450-600: The latter's subsidiaries remained separate companies.) Following privatization for freight service in the 1990s, the old National Railroad of Mexico, including most of the Interoceanic, formed the majority of Transportación Ferroviaria Mexicana (now Kansas City Southern de México ). Nationalization Nationalization ( nationalisation in British English ) is the process of transforming privately owned assets into public assets by bringing them under
475-708: The latter, from Colima to Manzanillo , remained with the Mexican National Construction Company, and was acquired by the Mexican Central Railway in 1905.) In 1886 the railway commissioned Abel Briquet to take a series of photographs, which provide documentation of the railways at that time. The company was reincorporated again in Utah in February 1902 as the National Railroad of Mexico, and completed standard-gauging
500-584: The main line in November 1903. The National subsequently acquired three narrow gauge companies in central Mexico. First it leased the Michoacán and Pacific Railway in 1900, giving it branches from Maravatio to Zitácuaro and Angangueo . In 1903 it acquired the Interoceanic Railway of Mexico , which included a main line from Mexico City to Veracruz and a number of branches, in exchange for
525-770: The motivations of the nationalizing party. Nationalization was employed towards the Panama Canal by the Panamanian Government, which came under the Panama Canal Authority in 1999, to internationally positive effect. Likewise, the Suez Canal was nationalized multiple times throughout history. In Germany, the Federal Press [ Bundesdruckerei ] was nationalized in 2008 with positive revenue and net income since. Expropriation
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#1732791005980550-498: The nationalization of key services such as water, bus, railways and broadband in the United Kingdom could save £13bn every year. Nationalization may produce other effects, such as reducing competition in the marketplace, which in turn reduces incentives to innovation and maintains high prices. In the short run, nationalization can provide a larger revenue stream for government but may cause that industry to falter depending on
575-679: The nature of capital expenditure involved in the past, most telecommunications companies were government owned agencies or privately-owned monopolies operated in most countries under close state-regulations. But today there are many private players in most regions of the world, and even most of the government owned companies have been opened up to competition in-line with World Trade Organization (WTO) policy agenda. Historically these government agencies were often referred to, primarily in Europe, as PTTs ( postal, telegraph and telephone services ). Telecommunications companies are common carriers , and in
600-581: The term nationalisation , preferring the term statisation instead. |Fred Moseley]] in Dollars & Sense , January/February 2009 Telecommunications company A telecommunications company is a kind of electronic communications service provider, more precisely a telecommunications service provider (TSP), that provides telecommunications services such as telephony and data communications access. Many traditional solely telephone companies now function as internet service providers (ISPs), and
625-436: Was one of the major mechanisms advocated by reformist socialists and social democrats for gradually transitioning to socialism. In this context, the goals of nationalization were to dispossess large capitalists, redirect the profits of industry to the public purse, and establish some form of workers' self-management as a precursor to the establishment of a socialist economic system. Although sometimes undertaken as part of
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