Traditional Culture Encyclopedia - Traditional stories - What is the way for basic industries to provide investment?
What is the way for basic industries to provide investment?
1, direct investment, free of charge. That is, the government directly invests in infrastructure and provides it to the public free of charge, and the government bears all the costs. This is the most basic and traditional way of government investment. It is suitable for infrastructure projects that generally benefit the public and the benefit amount is roughly the same. At this time, the government actually relies on tax financing. 2. Direct investment and non-commercial operation. That is, direct investment by the government and non-commercial operation by specific public departments of the government. The so-called non-commercial operation is not for profit. Commercial entities charge users fees equal to or lower than operating costs. This method is suitable for infrastructure projects that benefit the public as a whole, but have different benefits. These projects are exclusive, but not suitable for private sector operation. At this time, there are actually two ways to compensate the project cost: tax and use fee. 3. Indirect investment and business operation. That is, the government only provides investment loans, which are invested and operated by the people in a commercial way. It is suitable for general infrastructure and basic industrial projects, which are not universal and exclusive and suitable for private sector operation. At this time, the project cost compensation actually comes from the price of providing project services.
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