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The private sector is the part of a country's economic system that is run by

individuals and companies, rather than the government. Most private sector
organizations are run with the intention of making profit.

The segment of the economy under control of the government is known as


the public sector. Charities and non-profit organizations are sometimes
considered to make up a third segment, known as the volunteer sector. However,
such organizations are more commonly considered part of the private sector.

The private sector is larger in free enterprise economies, such as the United
States, in which the government imposes relatively few restrictions on
businesses. In countries with more government control, such as China, the public
sector makes up the larger part of the economy.

In many countries, there is considerable overlap between public and private


sector industries. Examples of enterprises that are often run cooperatively
include waste management, water management, health care and security
services.

An industry or business may start out in one sector and move to the other. The
act of turning a publicly-run enterprise over to private citizens is known
as privatization. The opposite movement, from private to public, is known by
various names, including nationalization or municipalization, depending on the
level of government involved.

A non-governmental organization (NGO) is a non-profit, citizen-based group that


functions independently of government. NGOs, sometimes called civil societies,
are organized on community, national and international levels to serve specific
social or political purposes, and are cooperative, rather than commercial, in
nature.

Two broad groups of NGOs are identified by the World Bank:

 Operational NGOs, which focus on development projects.


 Advocacy NGOs, which are organized to promote particular causes.
Certain NGOs may fall under both categories simultaneously.

Examples of NGOs include those that support human rights, advocate for
improved health or encourage political participation.

While the term "NGO" has various interpretations, it is generally accepted to


include private organizations that operate without government control and that
are non-profit and non-criminal. Other definitions further clarify NGOs as
associations that are non-religious and non-military.

Some NGOs rely primarily on volunteers, while others support a paid staff.

How NGOs are Funded


As non-profits, NGOs rely on a variety of sources for funding, including:

 membership dues
 private donations
 the sale of goods and services
 grants

Despite their independence from government, some NGOs rely significantly on


government funding. Large NGOs may have budgets in the millions or billions of
dollars. (For related reading, see "How do NGOs get funding?")

Types of NGOs
A number of NGO variations exist, including:

 BINGO: business-friendly international NGO (example: Red Cross)


 ENGO: environmental NGO (Greenpeace and World Wildlife Fund)
 GONGO: government-organized non-governmental organization
(International Union for Conservation of Nature)
 INGO: international NGO (Oxfam)
 Standardization [ISO])QUANGO: quasi-autonomous NGO (International
Organization for

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