Elements of the traditional economic system. Command economy - what is it? Advantages, features and problems of command economy

John Maynard Keynes (1883-1946), English researcher of economic theory, by the 30s of the XX century developed theoretical basis mixed economy, systematizing the conditions and results of placing government orders at private commerce enterprises. The data obtained showed that the use of such an economic system contributes to the solution of the financial and social problems of the state. Keynes's theoretical conclusions were used by F. Roosevelt to form a new course for the country's development in a difficult economic period.

In the 60s of the XX century, the American economist Paul Anthony Samuelson, relying on the works of D. Keynes, in his theoretical studies introduced the concept of a mixed economy.

Ludwig Erhard, a West German economist, used the theory of a hybrid economy while he was the German Minister of Economics to successfully build a social market economy.

The concept of "mixed economy"

A mixed economy is a hybrid model of an economic system: the production of goods and services is carried out by the state and private individuals. This type of economy is focused on encouraging private entrepreneurial activity. The redistribution of income under the control of the state provides a high level of social guarantees, which corresponds to the national interests.

A hybrid economy implies the existence of means of production, finance, products, the possibility of free trade or the provision of services, the hiring and firing of personnel, the management of property and means of production, public and private companies, or their mixed forms, which gives all market players equal rights.

Functions of the state in a mixed economy

The state in a mixed economy performs a number of functions. The main ones include the following:

• regulation of financial, excise and tax policy;
• antimonopoly regulation;
• establishing subsidies and benefits;
• formation of the legislative base;
• use and maintenance of state property;
• control of the foreign trade sphere;
• distribution of income.

The state regulates consumer, research, banking, social, customs, labor and other areas that are part of a mixed economy.

Private Sector in a Mixed Economy

Representatives of the private sector in a mixed economic system are full-fledged market participants. They participate in the production of goods and services both individually and in the format of public-private partnerships.

To ensure the social and financial policy of the state, private entrepreneurs, companies and other commercial associations must pay target, industry, insurance, license fees and taxes.

As part of supporting private entrepreneurship, the state provides market participants with subsidies, subsidies, and other incentives aimed at improving efficiency and developing economic activity individual entrepreneurs and companies.

At all historical stages of human development, society faces the same question: what, for whom and in what quantities to produce, taking into account the limited resources. The economic system and types of economic systems are designed to solve this problem. And each of these systems does it in its own way, each of them has its own advantages and disadvantages.

The concept of an economic system

An economic system is a system of all economic processes and production relations that has developed in a particular society. This concept is understood as an algorithm, a way of organizing the production life of society, which implies the existence of stable ties between producers on the one hand and consumers on the other.

The main processes in any economic system are the following:

Production in any of the existing economic systems is carried out on the basis of appropriate resources. some elements are still different in different systems. We are talking about the nature of the mechanisms of management, the motivation of producers, etc.

Economic system and types of economic systems

An important point in the analysis of any phenomenon or concept is its typology.

The characteristic of types of economic systems, in general, is reduced to the analysis of five main parameters for comparison. This:

• technical and economic parameters;
• ratio of the share of state planning and market regulation of the system;
• relations in the sphere of property;
• social parameters (real income, amount of free time, labor protection, etc.);
• mechanisms of the system functioning.

Based on this, modern economists distinguish four main types of economic systems:

1. Traditional
2. Command planning
3. Market (capitalism)
4. Mixed

Let us consider in more detail how all these types differ from each other.

Traditional economic system

This economic system is characterized by gathering, hunting and low-productive farming based on extensive methods, manual labor and primitive technologies. Trade is poorly developed or not developed at all.

Perhaps the only advantage of such an economic system is the weak (almost zero) and minimal anthropogenic pressure on nature.

Command-planned economic system

A planned (or centralized) economy is a historical type of management. Nowadays, it is not found anywhere in its pure form. Previously characterized by Soviet Union as well as some countries in Europe and Asia.

Today, more often they talk about the shortcomings of this economic system, among which it is worth mentioning:

• lack of freedom for producers (commands "what and in what quantities" to produce were sent from above);
• dissatisfaction with a large number of economic needs of consumers;
• chronic shortage of certain goods;
• occurrence (as a natural reaction to the previous paragraph);
• the inability to quickly and efficiently implement the latest achievements of scientific and technological progress (due to which the planned economy always remains one step behind the rest of the global market competitors).

However, this economic system also had its advantages. One of them was the possibility of ensuring social stability for everyone.

Market economic system

The market is a complex and multifaceted economic system that is typical for most countries in the modern world. Also known by another name: "capitalism". The fundamental principles of this system are the principle of individualism, free enterprise and healthy market competition based on the balance of supply and demand. Private property dominates here, and the desire for profit is the main incentive for production activity.

However, such an economy is far from ideal. The market type of economic system also has its drawbacks:

• uneven distribution of income;
• social inequality and social vulnerability of certain categories of citizens;
• instability of the system, which manifests itself in the form of periodic acute crises in economics;
• predatory, barbaric use of natural resources;
• weak funding for education, science and other non-profit programs.

In addition, a fourth type is also distinguished - a mixed type of economic system, in which both the state and the private sector have an equal weight. In such systems, the functions of the state in the country's economy are reduced to supporting important (but unprofitable) enterprises, financing science and culture, controlling unemployment, etc.

Economic system and systems: examples of countries

It remains to consider examples for which this or that economic system is characteristic. For this, a special table is presented below. The types of economic systems are presented in it taking into account the geography of their distribution. It should be noted that this table is very subjective, since for many modern states it can be difficult to unambiguously assess which of the systems they belong to.

What type of economic system is in Russia? In particular, Moscow State University professor A. Buzgalin described the modern Russian economy as a "mutation of late capitalism." In general, the country's economic system is considered today to be transitional, with an actively developing market.

Finally

Each economic system responds differently to the three "what, how and for whom to produce?" Modern economists distinguish four main types: traditional, command-and-plan, market, and mixed systems.

Speaking about Russia, we can say that in this state a specific type of economic system has not yet settled down. The country is in transition between a command economy and a modern market economy.

At almost all stages of human development, society faces the main question: “How and in what quantities, with limited resources, to maximize productivity?” To solve this problem, economic systems and their types have been invented. Each of these systems solves this issue in its own way. They have pros and cons. Let's consider in more detail. Evaluation of the economic system - important nuance in the politics of the state.

The concept of an economic system

The economic system is a structure that unites all economic processes, production relations, which exist in society. This concept should be understood as an algorithm, as well as a way of production, which, on the one hand, determines the relationship with consumers, and on the other hand, establishes links between producers.

It should be noted that the concept of "economic system" and its types strongly depend on what kind of scientific school is being discussed. In some, it is considered with the help of macroeconomic concepts, in others - due to human influence, in others, attention is focused on what are the mechanisms of the economic system: systemic, and so on.

In any economic system there will be basic processes of production, distribution, exchange and consumption. In any of the available systems there is a production process that is created with the help of special resources. However, some elements in this matter are different. We are talking about what mechanisms of production are used, the motivation of the producer himself, and also how difficult the nature of socio-economic relationships is.

Economic system and its types

The most important thing in the analysis of the described term should be called typology. The characteristic of each type of systems has 5 main parameters by which they are compared with each other. Below, the types of economic systems and their characteristics are described in detail, but for now let's focus on more important information.

We are talking about the mechanisms by which the system functions: about social parameters, that is, about the amount of working and free time, about how labor protection and real income are carried out. The relationship between planning and market regulation is also taken into account. Also, this should include relations in the field of ownership, as well as parameters of a technical and economic type. Thanks to this data, economists were able to identify the main economic systems. We are talking about traditional, market, mixed, as well as command-planning.

Traditional type of economic system

This system of economy was the very first. She was born in ancient times. At that time, the system was based on subsistence farming. Now the traditional type is almost nowhere to be found. Sometimes it can be found in third world countries, as well as in some regions of America, Asia and Africa. In order to maintain this economic system, it is necessary to use hunting, gathering, together with low-productive farming, which is completely based on the manual method of work. Technologies are practically not used here, if you do not take into account the most primitive ones. At the same time, trade is practically not developed, if it exists at all. Features of the economic system of this type are only in its dignity.

The only advantage of this economic system is that there is no pollution during operation. environment. In addition, the burden on nature is practically not carried out.

Command-planning

This system is also called centralized. It also refers to historical types of economic systems. At the moment, it is impossible to find it in its pure form. Previously, it was found in the Soviet Union, and was also used in some countries of Europe and Asia. Other types of economic systems and their characteristics allow us to conclude that this policy is completely unprofitable.

Now scientists highlight the disadvantages of the system more than its advantages. We will review them.

Firstly, the manufacturer has no freedom, that is, how much and what to produce, only higher authorities could decide. It is impossible to meet the wide-ranging economic needs of buyers. Some items are in short supply. A black market is emerging. His appearance is a reaction to the above nuances. It is also impossible to quickly and efficiently introduce new technologies into the process in order to increase production, and so on.

It is because of this that, as a rule, this system economy is always left behind by competitors who work in a different way, entering the global market. Although there is one of the few advantages: this system makes it possible to achieve social stability for every inhabitant of the country.

Market economic system

Anyone who understands even a little about economics understands that the market is a rather complex system. It is now present in almost all countries in modern world. It is also called capitalism.

The main function of the economic system is the principle of individualism, entrepreneurship, as well as competition, which arises in the presence of demand, supply and in the production of products. As a rule, the market is always dominated by only private property, and the incentive to produce any goods is to make a profit.

Even with these advantages, such a system of economics is not ideal. There are shortcomings, for example, incomes are distributed unevenly, social inequality and insecurity of some citizens are relevant. Also, the market economic system is rather unstable. It can cause a crisis. They suffer from it Natural resources(because of the barbaric attitude towards them), and practically no one finances unprofitable programs.

mixed type

Economists distinguish a fourth type - mixed, which assumes that both the state and the private sector have the same role in society. The function of the economic system is that the state supports unprofitable but important enterprises: they finance science, culture, unemployment, and many other functions, while the private segment is engaged in the production of mass goods and provides the services necessary for everyone.

Examples of economic systems and types

Be sure to consider modern countries that work with a particular economic system. Since these data are unofficial, and it is impossible to judge for sure which system of the economy they belong to with an accuracy of 100%, economic figures are still trying to determine the type of economy with which this or that state works as correctly as possible.

For example, Vanuatu, Barbados, Zimbabwe, Ethiopia and other countries that are not very developed in this regard are still working with the traditional type of economy.

The planned one is more inherent in the USSR; India also used this type until the early 1990s. In addition, Nazi Germany worked with the same economic system.

Market type in almost many countries that are currently leaders in the economy. These are the USA, Japan, France, Canada, the Republic of South Africa and so on.

Mixed type in China and Russia. More details about the types of economic systems and their characteristics above.

Russia

Let's take a closer look at Russia. At the moment, it is impossible to say exactly what type of economic type the state is working with, but professors from Moscow State University characterize the country's politics as a "mutation of late capitalism." Today adopted the economy Russian Federation taken as a transition, it should be noted that it is quite successful, as the market is developing at a tremendous speed.

transitional economy

It would be fair to consider the transitional economy as well. It combines changes within the current system and the acquisition of some characteristics from any other that exists.

At the moment, in order to form an economic system of a transitional type to a market one, it is necessary to reform the public sector, introducing privatization and leasing of property. Attention should also be paid to the creation of a market infrastructure that will satisfy the market and make production more efficient if certain resources are available.

It is also important that it is necessary to develop small and medium-sized businesses, as well as to encourage people if they decide to engage in entrepreneurship. It is necessary to work with commodity producers who have different forms of ownership: private or state. You should also pay attention to the issue of pricing. It is necessary to introduce market mechanisms.

Results

The article discusses economic types, examples and features. It is important to note that the type of economic systems is an interesting question, given that many states do not announce what mechanism they work with.

The market economic system will be the most effective, as it allows you to develop the economy from the best side, and its shortcomings are gradually reduced to a minimum. If a country begins to enter the global market with its products, then it will be able to pull the whole country out of any situation, improve the economy and put people's lives in order.

Also, don't forget about business development. It is important to encourage all entrepreneurs who are engaged in it. Through the introduction of such activities, it is possible to reduce the costs of producing widely demanded devices, but also to benefit from the functioning of this activity.

According to some reports, Russia belongs to countries with a mixed economy, according to others - with a transition. The types of economic systems described above and their characteristics should already be clear to the reader. It should be noted that, one way or another, the market in the country is really very well developed, so it is unlikely that any problems will arise in the economic sphere in the near future.

Depending on the economic mechanism and social structure, the types of economy are divided into such as:

• traditional;
• command;
• market;
• mixed.

These types of economic systems are associated with the distribution of funds and the presence of opportunity costs (lost income). They are used to form economic activity in society - a society of people coordinating their actions with each other according to the developed rules.

Traditional type of economy

The traditional system is based on historical traditions that are passed down from generation to generation. In modern society, it is used in countries with an underdeveloped economic structure, which is based on Agriculture, handicraft, primitive forms of trade. The role of the state in economic relations is low. Markets act as the regulator of economic relations, where the priority is to extract one's own benefit, and not collective. New technologies are slowly introduced here due to the reluctance of people to make changes in their daily lifestyle. The distribution of resources, labor for the production of goods and its products, are based on the customs of the community. For example, the countries of Southeast Asia: Afghanistan, Bangladesh, Pakistan.

Character traits

The traditional system is stable. It has virtually no production costs, and workers are motivated to commercialize their skills, which has positive influence on product quality. The system is characterized by:

• the predominant use of manual labor;
• using natural sources energy;
• building power on tribal relations;
• a small segment of the extractive industry or its absence;
• exploitation, restriction of the rights and freedoms of the lower stratum of society.

The system allows for free trade, allowing for a decent standard of living.

Command economy

The command system provides for state ownership of resources, centralized planning, and a minimum intensity of free market relations. The state decides everything - from the location of the enterprise to the channels for supplying raw materials and marketing the product. Power structures set profitability indicators, to which wages, bonuses and penalties are tied. This system is aimed at:

• suppression of personal freedoms of citizens;
• management, through administrative orders and planning system;
• state form of ownership.

The command type of economy is currently used by Vietnam, Cuba, North Korea.

Market type of economy

The market system is a guarantor of compliance with the terms of transactions, non-interference of third parties. It allows you to freely choose markets for goods and services. The entrepreneur independently chooses where to buy raw materials, what product to produce, to whom to sell it, how to use the income received. Main features:

• private property;
• the possibility of choosing forms of activity;
• pricing based on supply and demand;
• healthy competition;
• limited role of state structures.

This type of management in its pure form does not have real examples. The existing market systems of developed countries are based on the dominance of large corporations. Prices are held at a certain level and depend on the policy of vendors, which allows you to deviate from the model of perfect competition.

Mixed type of economy

A mixed economy allows you to combine the possibilities of market and command systems. It involves the combination of the leading role of the state and freedom of entrepreneurial activity. It is based on the following types of property:

• private;
• state;
• municipal;
• collective.

The state performs a regulatory role by applying fiscal, antimonopoly and other types of economic policy, and producers of products and services have the right to independently choose the field of activity. A mixed type of economy is used in the UK, Germany and Russia.

Read the information .

economic system- a way of organizing the economic life of society, which is a set of ordered relationships between producers and consumers of material goods and services.

IN study guide"Social science. The Complete Reference Book, edited by P.A. Baranov, gives the following definition:

« economic system- an established and operating set of principles, rules, laws that determine the form and content of the main economic relations that arise in the process of production, distribution, exchange and consumption of an economic product.

To date, economists distinguish 4 types of economic systems, using such basic criteria as the form of ownership of the main factors of production and the distribution of resources:

1.Traditional economic system

• land and capital (the main factors of production) belong to the community, tribe or in common use,

• resources are distributed according to long-standing traditions.

2.Command (centralized or administrative) economic system. type of economic organization in which

• land and capital (the main means of production) are owned by the state,

• resources are also distributed by the state.

3.Market (capitalist) economic system. type of economic organization in which

• land and capital are privately owned,

• Resources are distributed through the supply and demand market.

4.Mixed economic system. type of economic organization in which

• land and capital (the main factors of production) are privately owned,

• resources are distributed by the state and the market. See note below...

Consider examples .