Studies of privatization in central Europe have shown that the process often fails to deliver predicted benefits if the newly privatized firms:Question 5Select one:a.Are sheltered from foreign competition.b.Are allowed to restructure their operations.c.Stop receiving subsidies from the government.d.Are completely owned by private individuals.

The question is asking which scenario often leads to privatization in Central Europe not delivering the predicted benefits. The options are:

a. The firms are sheltered from foreign competition. b. The firms are allowed to restructure their operations. c. The firms stop receiving subsidies from the government. d. The firms are completely owned by private individuals.

The answer would depend on the specific context and details provided in the study. However, generally speaking, privatization might not deliver the predicted benefits if the firms are sheltered from foreign competition (option a). This is because competition often drives innovation and efficiency, and if firms are sheltered from this, they may not perform as well as predicted.

On the other hand, allowing firms to restructure their operations (option b) and stopping government subsidies (option c) could potentially lead to improved performance, as they would have to become more efficient and competitive to survive.

Finally, whether the firms are completely owned by private individuals (option d) could have varying effects depending on the specific circumstances, but it is not typically seen as a primary factor affecting the success of privatization.