Meaning of Public Sector (What it is, Concept and Definition)

What is Public Sector:

Public sector is the name given to the total set of State institutions that are dedicated to implementing and administering policies, laws and programs in a country in order to guarantee its proper development.

The public sector ranges from the administrative divisions of public powers to the set of institutes, organizations and companies under the control of the State, both at the national, regional and local levels.

In concrete terms, the public sector represents organized society. It is its responsibility, therefore, to guarantee the proper functioning of the economy, education, health, public services, national security, both internal and external, etc.

All those institutions that depend on the State budget for their operation and are directly accountable to it are part of the public sector, even if they have autonomy, as is the case with public universities.

The public sector fulfills functions in all areas of national life as it monitors, guides or supervises the development of society through laws, policy design and judicial arbitration.

See also: State.

Public sector functions

Among its essential functions we can mention:

Protect and defend national sovereignty. Design, implement and administer laws and policies that guarantee the achievement of the common good. Manage State resources according to the needs of the nation. Promote efficient policies for the distribution and administration of public services in a manner direct or indirect.

Structure and entities of the public sector

At the macro level, the public sector is divided into at least three essential powers:

Legislative power: responsible for the promulgation of laws and ordinances that promote social good. Figures such as the national assembly, parliament or congress of the republic are an expression of legislative power, depending on the type of political organization of a nation.
See also legislative branch.
Executive power: It is responsible for applying and administering the laws, regulations and standards of a nation, as well as designing government plans and distributing resources. The presidency of the republic, the ministries, the governorships and the mayors’ offices, among others, are an expression of the executive power.
See also Executive branch.
Power of attorney: It is responsible for interpreting the law and ensuring its compliance. Establishes the necessary corrections and measures to avoid or punish infractions.
See also Judiciary.

Each of these divisions of the public sector are replicated at the national, regional and local levels. Likewise, these are organized in all types of institutions and organizations that facilitate the fulfillment of the proposed objectives. For example:

Autonomous organizations; Public foundations; Public commercial companies; State companies; Consortia. Public educational institutions: primary, secondary, diversified and university education.