People and Society, Social Services

open door policy, government subsidies, unemployment insurance, private enterprise, state-owned enterprises

Employees of the government and of state-owned enterprises receive substantial social benefits, including health care, a pension, and unemployment insurance. Large private firms also may provide such benefits. Smaller privately owned firms are not required to do so, and most do not. Egypt has no system of income support for the poor. Under the open door policy, which aimed at encouraging private enterprise and loosening state controls on the economy, government subsidies that lowered the prices of basic consumer goods were radically cut. As a result, the prices of these goods rose considerably. However, bread sold in poorer neighborhoods is still subsidized.

Article key phrases:

open door policy, government subsidies, unemployment insurance, private enterprise, state-owned enterprises, pension, bread, Egypt, economy, Employees, result, health care