Impact of bhutto's nationalization on economy of Pakistan?

Answer 1

There are various implications that nationalization brought amongst them ; hyper inflation,drastic fall in production & GDP growth which consequently led to low savings & tax collections ,resultant amassing unemployment and loss of confidence in the investor sentiment. Zulfiqar Ali Bhutto was descendant of rural agriculturist elites who had no idea of modern economics and industrial development . He deluded the idea that business thrives on confidence. Bhutto's socialist policies against the business elite was believed to be a measure to narrow the gap between the rich and poor .But rather turned out to be an dictatorial move to save his own skin from a rising industrial class focused on educating the masses and developing their skills. Last but not the least, by 1977 Bhutto s popularity was severely tarnished at the same time the national elections were nearing. nationalization brought Pakistan s economy to its knees and sank the Pakistani public deeper into poverty.