Control of Public Utility Services in Germany
| Published date | 01 October 1930 |
| DOI | http://doi.org/10.1111/j.1467-9299.1930.tb01996.x |
| Author | W. Eric Davis |
| Date | 01 October 1930 |
Control
of
Public
Utilitv
Services
d
in
Germany
By
W.
ERIC
DAVIS,
B.Sc.
(Econ.)
Lond.
HE
present writer recently made some attempt to analyse
and
T
classify the various German experiments
in
public enterprise.
Owing to an almost complete lack of an accepted terminology
to
describe the various forms it has been necessary to invent phrases
which,
if
somewhat clumsy, are quite easy to understand once they
have been enc0untered.l
There are three chief forms, dependent, independent and complex.
Those included within the first tern are the old Rkgie enterprises
which are directly
run
by the authority concerned and possess’most
of
the characteristics
of
Engiish municipal enterprises. The expressed
will
of
the Council can penetrate directiy to the centre
of
managerial
authority which
is
subject to the constant criticism and ultimate confi-
dence
of
the elected representatives. The inclusion of hance within
the general budget and
of
employees
within
the general
body
of
local
officials
form
secure bonds between the concern and the council which
have hardly been weakened by some councils which have voluntarily
relinquished control over the smallest financial details or by others
which have instituted schemes of co-operation of outside experts
or
to
the managing bodies. Forms of enterprise
so
widely Wering
as
banks
,
slaughter-houses and electricity generating stations may be
managed by
this
method which, as the simplest and most primitive
form
of public enterprise,
is
likely
to
fall
into disuse as the scope
of
public control and management becomes wider and more complex.
In
Germany
the limitations of
this
form had been realised before
the
war; but
the
foundation of the Republic and the experiences of
infla-
tion
and reparations payments have proved to be determining
stimuli
towards the creation of new forms. There are
no
conclusive
statistics
upon
this
point but a few samples
from
different authorities suggests
that the dgie (dependent) form
is
rapidly
diminishing
and
already
includes
less
than
one-half
of
the
total
public enterprises.
The independent
form,
as
the name suggests, allows to
the
enter-
prise
a
certain
degree
of
autonomy
by
investing
it
with
a legal
425
‘Mmkin,
in
his
book
“The
Xew
Ind-
Revolution.”
adopts
=hi&
are
inadequate
and
in
part
mislsading.
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