Concept:Privatization transfers state-owned industries to private owners.
Explanation:Private firms operate to earn profit and reduce waste.
They face competition from other businesses in the market.
Competition forces managers to cut costs and adopt better technology.
Private management increases productivity and output.
Employment and efficiency rise because resources are used more rationally.
Thus, the main effect on the industrial sector is greater efficiency.
It does not discourage efficiency or reduce output.
Liquidation is not the expected outcome of privatization.
Answer:A. ensures efficiency