Under the constitution, India is wedded to the goal of socialistic society. This commitment requires the regulation of private monopolies and concentration of economic power in a few hands. Public ownership and control of large scale business enterprises is an important of means of securing an egalitarian distribution of national income. State participation in industry helps to reduce disparities in income and wealth. Public enterprises act as a counter-veiling power to big business and thereby facilitate the diffusion of economic power in the country. They help to socialize the means of production and distribution.
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