1. Main economic issues

Each society, faced with the problem of limited available resources with an unlimited growth of needs, makes its own choice and answers the three main questions of economics in its own way.

What to produce? How to determine priorities in meeting needs, which goods and in what quantity should be produced?

How to produce? How to use available resources most effectively, what resources to attract, how to organize production?

For whom to produce? How to distribute produced goods, who will receive them and on the basis of what principles?

Depending on how society answers the main questions of the economy, certain types of economic systems emerge: traditional, market, centralized.

An economic system is a way of organizing the joint activities of people in society. Concept economic system includes such decision-making mechanisms as the legislative system, forms of ownership, moral norms, habits, and customs accepted in a given society.

2. Types of economic systems

In a traditional economic system, the three main questions of economics (what to produce? how to produce? for whom to produce?) are resolved in accordance with established traditions. Examples of observed traditions in the economy are: customary farming methods, norms of consumption of certain products, religious prohibitions on the production and consumption of specific goods, etc. Sales and purchase relations are poorly developed, agriculture predominates.

Most of the history of human development took place within the framework of the traditional economic system.

O Remember from the course of general history what forms of social

development corresponds to the traditional economic system.

The main incentive economic activity under the traditional system is the desire to survive. The advantages of this system are predictability and stability. Serious disadvantages include a low standard of living, lack of progress, economic growth.

A centralized system, which is also called a planned, administrative, command system, is characterized by the fact that state ownership is the main form of ownership. Three main issues are decided by central government agencies. These decisions are reflected in state plans and take the form of directives (orders), which are binding on all enterprises. Centralized regulation is carried out not only in the sphere of production of goods, but also in the sphere of their distribution. Such an economic system was implemented in the Soviet Union and, partly, in the countries of the socialist community. The centralized solution of the main economic issues in the USSR made it possible to achieve success in the natural sciences, space exploration, ensure the country's defense capability, create powerful social protection systems, etc.

However, the command-administrative economic system of the USSR turned out to be unable to ensure the development of personal initiative. One of the principles of a command economy is the principle of equal distribution. If an enterprise managed to make a large profit, then almost all of it was confiscated and transferred to the state budget.

Workers received almost the same wages; incentives for highly qualified, creative work were insignificant and had not so much a material as a moral basis. All this gave rise to the enterprise’s disinterest in improving production technology, increasing productivity, and the lack of personal interest of people in the results of their work. Gradually, the USSR began to lag behind the leading powers of the world community in the most important socio-economic indicators. The suppression of economic independence of economic entities led to a deterioration in the quality of economic growth and its slowdown. There was a need for radical reform of the economic system.

Market system. IN market system the government's role is limited. The main subjects of market relations are economically independent participants economic activity: citizens and firms. Their interaction takes place on the market. A market is any form of contact between sellers and buyers on the basis of which purchase and sale transactions are made. There are many types of markets; they are classified according to the economic purpose of the objects, by geographical location, and by industry.

Markets are in constant interaction, forming a single complex system.

The basis of the market mechanism is individual freedom to adopt and implement economic decisions. Freedom of choice in a market economy is enjoyed by entrepreneurs, resource owners and consumers.

Enterprises have the right to purchase factors of production at their own discretion, produce those goods and services that they consider necessary, and choose the method of their production; In this case, decisions are made at your own expense, at your own risk.

Resource owners can use resources at their own discretion. This also applies to owners labor resources, they can do any kind of work that they are capable of.

Consumers can buy the goods and services they want within the limits of their income. In a market economy, the consumer occupies a special position; it is he who decides what the economy should produce; If the consumer does not want to buy goods and services, then the firms will go bankrupt.

The main form of ownership of factors of production is private. Private property assigns to a person the rights to own, use and dispose of economic goods or resources.

Remember from your social studies course what property is.

The main issues of the economy in a competitive environment are resolved on the basis of a system of free prices under the influence of market information.

The question “what to produce?” decided by firms taking into account consumer demand.

The question “how to produce?” is decided by firms taking into account the profitability motive, i.e. firms choose the most effective method production.

The question “for whom to produce?” is decided in accordance with the solvency of buyers.

The main incentive for enterprises to operate in a market system is profit. The advantages of a market economy are more efficient use resources, mobility of the system, its ability to adapt to changes, introduction of new technologies. But the market system has a number of shortcomings, so-called market “failures,” which we will consider below.

All types of economic systems can be represented in the form of a diagram.

In real life, all countries have a mixed economic system, which combines the features of other systems: traditional, centralized and market. Depending on their predominance, a mixed economy of traditional, centralized or market type is distinguished.

3. Mixed economic system

In a market economy, problems arise that the market system cannot solve. Such cases of market failure are: inflation, unemployment, the emergence of monopolies, cyclical economic development, uneven distribution of income of citizens.

In a market system, the need to produce public goods also arises. Public goods are economic benefits, the use of which by some members of society does not exclude the possibility of their simultaneous use by other members of society. These include, for example, national defense, fire protection, emergency response (earthquakes, floods), state television and radio broadcasting, etc. Public goods differ from private goods, which have a private seller and a private buyer, in such properties as non-competitiveness, non-excludability and non-profitability. Non-competitiveness means that goods and services can be

used by many people at the same time; at the same time, the amount of goods available to others does not decrease (for example: lighthouse, fireworks). Non-excludability is the impossibility of excluding those who do not pay for them from using these services, the so-called “rabbit effect”, for example national defense or street lighting. Hence the non-profitability of public goods, the unattractiveness of their production for commercial firms (for example: firefighters, emergency rescue services.

Moreover, the market is unable to solve the problem of externalities. Externalities are positive or negative impacts on those who do not participate in the production or consumption of a given good.

Examples of a positive external effect: a free bus to the supermarket - for local residents, a good road to a rich mansion - for everyone who will use this section of the road.

Examples of a negative external effect: environmental pollution by an enterprise, smoking in public places, etc.

Both positive and negative external influences reduce the efficiency of resource use, since in both cases the price of the product is underestimated. At the same time, the quantity of goods sold is artificially low in the case of a positive external effect and unjustifiably inflated in the case of a negative external effect. In the topic of market equilibrium, we will return to this issue and analyze specific situations with externalities.

The presence of market failures necessitates government intervention and the formation of a mixed economic system. In mixed

system private and public organizations jointly exercise economic control.

Currently, Russia has a mixed market economy.

Three main questions of economics:

What to produce?

How to produce?

For whom to produce?

Depending on how society answers the main questions, a certain type of economic system is formed: traditional, command or market.

The presence of market failures necessitates government intervention and the formation of a mixed system.

Basic Concepts

Economic system Main issues of economics Traditional system Centralized system Market system Market

Private property Mixed system Market failures.

Public goods

External effects

Questions and tasks

1. What is an economic system?

2. Name the three main issues of economics. Why does every society have to deal with these issues?

3. How are the main issues resolved in the traditional system?

4. Which form of ownership is the main one in a centralized system, and which is the main one in a market system?

5. What forces firms to produce quality goods in a market economy? Explain why.

6. Give examples of market failures.

7. What characterizes modern economy in Russia as a mixed market economy?

8. What are public goods and services? Why don't companies produce them?

9. “Either power or the ruble - there has not been and is no other choice in the economy since the ages, from Adam to the present day.” How do you understand this statement by N. Shmelev?

The basic problem of economics can also be presented as a problem of choice. Indeed, if each factor used to satisfy various needs is limited, then there is always the problem of alternative use and search for the best combination of factors of production, that is, the problem of choice. A reflection of this problem is the statement three main questions economy.

Three main questions of economics:

What? – problem of targeting. – Which of the possible goods and services should be produced in a given economic space and at a given time?

How? – production problem.– With what combination of production resources, using what technology should the selected ones be produced? possible options goods and services?

For whom? – distribution problem.– Who will buy the selected goods and pay for them, benefiting from them? How should society's gross income from the production of these goods and services be distributed?

The fourth question, which also inevitably faces every society, is the question: How? How to get rid of waste generated in the process of life, how to maintain the ecological balance in nature without reducing the level of consumption. This recycling problem.

5. Production possibilities in the economic system and the problem of choice.

The production capabilities of the economic system are limited by the scarcity of the resources used. Moreover, the limitation of all economic resources remains and even increases as society develops. This is due not only to the depletion of irreplaceable natural resources, but also because consumption constantly gives impetus to the development of production, that is, new goods and services are created, their quality characteristics change, which causes an increase in the need for consumer and investment goods. And each time society is forced to decide which of these goods to produce with available resources and on what scale.

The problem of choice in any economic system (be it a family, a company, a state) can be illustrated using economic model “Production Possibility Frontier”. And also, this model allows you to clearly demonstrate such fundamental economic concepts as limited resources, opportunity costs.

To build the model, we will plot the number of consumer goods (X) on the abscissa axis, and the number of means of production (Y) on the ordinate axis (see figure).

Means of production (Y)

Consumables (X)

O X B X C

The ABCD curve, called production possibilities frontier, characterizes the maximum possible volumes of production of means of production and consumer goods with full use of all available resources. Each point on this curve represents a certain combination of goods of these two types (for example, point B represents a combination of X B units of consumer goods and Y B units of capital goods.

The production possibilities frontier graph illustrates the fact that an economy that is fully utilizing productive resources cannot increase the production of any good without sacrificing another good. The functioning of an economy at the frontier of its production possibilities indicates its efficiency.

Based on this, the choice of the combination corresponding to point F is regarded as unsuccessful for a given society, since it does not allow it to effectively use production resources. Having chosen such a point, we would resign ourselves either to the presence of unused resources (for example, unemployment) or to the low efficiency of their use (for example, large losses, including working time). Production based on the choice of point E is generally unfeasible, since this point lies beyond the production capabilities of a given economic system.

Let's compare points B and C. By choosing point B, we will prefer to produce fewer consumer goods (X B) and more means of production (Y B) than by choosing point C (X C, Y C). More precisely, when moving from point B to point C, we will additionally receive Δ X = OX C – OX B units of consumer goods, sacrificing for this ΔY = OY B – OY C units of means of production. The amount of one good that must be sacrificed to increase the production of another good by one unit is called opportunity costs or costs of lost opportunities.

The ABCD curve is convex. This is due to the fact that one resource can be used more productively in the production of consumer goods, while others can be used as means of production.

If new technology, new technological processes are introduced simultaneously and evenly in all industries, then the production possibilities frontier AD will shift to the position of the dotted line A 1 D 1, the possibilities of producing both means of production and consumer goods with the same resources will increase approximately equally ( see fig.).

If innovations are carried out primarily in industries producing capital goods, the increase in the area of ​​production possibilities will be skewed to the right (see figure).

An economic system is a form of organization of the economic life of society.

Elements of the economic system:

Socio-economic relations. They are based on the forms of ownership of property that have developed in each economic system. economic resources.

Organizational forms of economic activity ( natural economy, commercial farming, etc.).

An economic mechanism is a way of regulating economic activity at the macroeconomic level, as well as a system of incentives and motivations that guide participants in economic life.

Specific economic ties between enterprises and organizations.

In any economic system, economics solves 3 main issues:

What to produce?(That is, what goods and services, in what quantities, by when).

How to produce?(Which resources to use, at which enterprises, with the help, what technology, etc.).

For whom to produce?(That is, the target group of consumers).

Question 4. Main types of economic systems and their characteristic features.

Economic systems differ in:

A method for solving major economic issues.

By type of ownership of the most important types of resources.

From the point of view of these criteria, the following types of economic systems are distinguished:

Traditional system.

These economic systems existed mainly in the initial periods of human history. Major economic issues were decided on the basis of instinct. Now these systems are much less common (in the most remote areas of the world, in economically underdeveloped countries).

Traditions, customs, heredity, class, rituals determine what, how and for whom to produce. Consequently, this economic system is based on backward technology and widespread manual labor. Small-scale production is of great importance. It is based on private ownership of productive resources and the personal labor of their owner. Small-scale production is represented by numerous peasant and craft farms that dominate the economy. The role of the state is active - providing social support to the poorest segments of the population. The natural communal form of farming predominates.

Administrative command system.

In this system the main role is played by the state. It is it that decides the questions of what, how and for whom to produce with the help of centralized planning and management.

Character traits:

Public ownership of all economic resources, monopolization of the economy.

Coordination of economic activities is carried out on the basis of hierarchy, that is, the administrative method of subordination to a higher authority.

Management of the economy is carried out from a single center using orders and direct commands.

The center gives instructions: what, how and for whom to produce, where to deliver products, in what quantity, at what price. Consequently, the center must know and determine in advance all needs, all resources. On this basis, a directive plan for economic development for a certain period of time is drawn up. Each employee is given specific tasks, and their implementation is strictly controlled.

Giant monopolies do not care about introducing new equipment and technology.

A significant portion of resources is allocated to the development of the military-industrial complex.

Examples of countries: USSR, countries of Eastern Europe.

Practice has shown that such a system can be effective in extreme conditions, in emergency circumstances (war). However, in the long term, in a normal socio-political and economic environment, it cannot be effective. Consequences: loss of moral and material incentives to work, loss of a person’s sense of ownership, equalization of pay, and, consequently, a decline in production. The economy becomes inefficient.

Market system.

The market is a mechanism for interaction between sellers and producers, a balance of supply and demand.

Question “what to produce?” The consumer decides.

Question “how to produce?” decided by the manufacturer. Under pressure from competition, manufacturers are trying to innovate so as not to go bankrupt, in order to reduce their costs.

Question “For whom to produce?”- in a market system, for those who have money.

Thus, in a market system, the main means of coordinating economic activity is commodity-money relations and competition. The predominant one is private property. This is a very tough system. You have to pay for mistakes in rubles, since miscalculations lead to losses, ruin, and bankruptcies. This system is based on the principle of economic feasibility, that is, on the desire to achieve maximum results at minimum costs. In a competitive environment, every entrepreneur tries to produce a better quality product, which means he strives to introduce new equipment and technologies. All this contributes to scientific and technological progress.

However, this is not a perfect system and has many shortcomings. As a result of competition, some are ruined and others are enriched, therefore, the property stratification of society is growing. Social guarantees are minimal, since the state plays a small role, being only an arbiter who monitors the implementation of laws. Thus, high efficiency is combined with a violation of the principles of equality and social justice.

Mixed system.

It should be borne in mind that in real life there is no market economy in its pure form. It exists only in theory. In real life, the modern economic systems of most developed countries are mixed.

The main feature of a mixed economy: both the state and the private sector play an important role in answering the questions: What? How? For whom to produce?

Planning methods are becoming quite widespread in it: development plans for individual firms based on marketing research, specific government intervention. Different plans economic levels influence the structure and quantity of products produced, ensuring their greater compliance with social needs.

The problem of using resources is solved within the framework large companies also based on an analysis of promising industries.

Thus, the state in a mixed economy acts in many directions (including financing of new, low-profit industries, retraining of personnel, development of medicine, social protection), exerting an impact on the economy that increases sharply during periods of crisis.

However, the market mechanism continues to play the main role in answering the classic three questions.

Models of economic organization:

American model is a liberal market-capitalist model, which assumes the priority role of private property, a market-competitive mechanism, as well as a high level of social differentiation.

German model– a model of a social market economy, which links the expansion of competitive principles with the creation of a special social infrastructure that mitigates the shortcomings of the market and capital.

Swedish model is a social model characterized by high level social guarantees based on broad redistribution of income.

Japanese model– a model of regulated corporate capitalism, in which favorable opportunities for capital accumulation are combined with the active role of state regulation in the areas of programming economic development, investment and foreign economic policy and with the special social significance of the intra-company principle.

The main economic task at all historical stages is the choice of the most effective option for the distribution of production factors in order to solve the problem of limited resources and unlimited human needs. A reflection of this problem is the formulation of three main questions of economics (Figure 12).

Rice. 12.

Let's look at each question in more detail.

The first fundamental question - which goods to produce - can be demonstrated by the example of an organization producing two main goods - good A and good B. The factors of production used to produce the first good (A) cannot be simultaneously used to produce the second good (B). Thus, we can say that the production of goods A leads to the loss of the opportunity to produce goods B and, in turn, has an opportunity cost.

The opportunity cost of a good or service is the best cost lost as a result of choosing a particular product or service. alternative option, requiring the same time or the same resources.

Cash cost and opportunity cost are overlapping concepts. Some opportunity costs, such as medical fees, are in the form of monetary costs, while others, such as the cost of leisure time, are not measured in monetary terms.

In this case, tuition fees represent an opportunity cost, because in fact, it can be spent on satisfying other needs. At the same time, such monetary costs, such as the purchase of clothing, food, etc., always exist and therefore are not included in the opportunity cost.

The second major economic choice is how to produce.

This question is caused by the existence of several ways to produce a product or service.

A key factor in deciding how to produce is allocative efficiency, or Pareto efficiency. Figure 13 shows the consumption opportunity curve MN.

Figure 13. Pareto efficiency

Any point on the curve (for example, A or B) is Pareto efficient. Movement along the curve means an improvement in the situation (resources, expenses) of one consumer while the situation of others worsens.

When efficiency is achieved, more of a good can be produced at the cost of losing the ability to produce something else if the factors of production and knowledge are constant.

However, production efficiency can be increased by improving social division labor. Its important characteristics are specialization and cooperation, which allow for comparative advantages in the production of goods to be taken into account.

The principle of comparative advantage is quite actively used not only for organizing production at an enterprise, but also in connection with the division of labor between firms or government agencies, as well as between countries.

The third key question of economics is who to produce for; it lies in the distribution of the produced product among members of society.

This issue can be considered both from the point of view of efficiency and from the point of view of equity (Figure 14).

Rice. 14.

The questions of what, how and for whom to produce are basic and common to all types of farms, but different economic systems solve them in their own way.

Traditional economics.

In a traditional economy, the main economic problems are resolved mainly on the basis of traditional patriarchal, tribal, hierarchical ties between people.

The list of goods, production technology and distribution are based on the customs of a given country. The economic roles of members of society are determined by heredity and caste.

The products produced are mainly those needed for own consumption and not for sale.

As for production technology, in a traditional economy the same products are produced from generation to generation, while production methods remain the same as they were hundreds of years ago. Technical progress and increased production efficiency are impossible because every manufacturer copies the work methods of their teachers. Every little thing in production process enshrined in special rules. Thus, labor productivity remains at the same level for centuries.

For whom to produce or distribute the product among consumers - this issue is also decided on the basis of traditions passed down from generation to generation.

Along with equal distribution taking into account gender and age, there are elements of unequal distribution depending on the place occupied in the social hierarchy and depending on the results of labor.

For example, if Brazil grew mainly coffee last year, then this year it will grow coffee, using the same technological methods, and for the same importing consumers.

Also, examples of a traditional economic system can serve as remote villages in central Africa, in the jungles of Asia, in the desert corners of Australia, in the tropical forests of Latin America. Here people live according to ancient customs, do everything as their ancestors did, for example, they hunt and fish, grow wheat, rice, and coffee. They conduct subsistence farming, that is, they provide themselves with everything necessary for a minimum standard of living.

Market economy.

Characterized by private ownership of resources and the use of price to coordinate and control economic activity. Thus, what, how and for whom to produce is determined by the market, prices, profits and losses of business entities.

The manufacturer strives to produce products that satisfy the needs of the buyer and bring him the greatest profit. The needs of society are expressed in the demand for a particular product, and the scale of demand is determined by how much people can pay for various goods. Those products will be purchased whose price and quality satisfy consumers.

Quantity and price are inversely related: when the price falls, demand increases, when the price rises, demand decreases. This relationship is called the law of demand. IN economic theory this relationship is depicted using a demand curve (Figure 15).

Rice. 15.

On the other hand, the volume of goods produced and their range are expressed in the supply of goods. Manufacturers will produce those goods whose price reimburses them for their costs and makes a profit. In other words, they will strive to sell more goods at a higher price. This relationship is called the law of supply. This relationship is depicted using a supply curve (Figure 16).

Rice. 16.

Prices for goods are determined based on the interaction of supply and demand. Consumer demand plays a critical role in determining what and how much to produce. Consumers “vote with their rubles.” If enough votes are cast in favor of a given product to ensure a profit for enterprises, then they will produce it.

When consumer demand increases, profits increase, which serves as a signal to expand production. Conversely, if consumer demand decreases, then profits decrease and production begins to decline.

How to produce? In a market economy, production is carried out by those enterprises that use the most effective, that is, the most profitable, technology. Effective technology involves choosing resources whose prices are relatively low, because The business executive responds with the desire to produce products at lower costs than his competitor, in order to sell more and at a lower price.

The technology and organization of production, the use of technical progress, and various management methods are aimed at solving this problem. Prices for resources, in this case the cost of equipment and level wages, provide a basis for solving the problem of how to produce.

If there is a lack of capital in a country to buy expensive equipment, but at the same time there is cheap labor, then labor-intensive technology is chosen.

For whom to produce? That is, how should the products produced be distributed among members of society?

In principle, products are distributed among consumers in accordance with the consumers' ability to pay the market price for it. These opportunities, in turn, are determined by consumer income. The amount of income directly depends on the prices of resources.

What a consumer will buy depends on the prices of goods and services, in other words, the price of a product plays a key role in determining the range of goods and services that the consumer will receive.

Thus, the role of price in a market economy is very significant (Figure 17).

Rice. 17.

Command economy.

A command economy is the opposite of a market economy. It is based on state property for all material resources. All solutions for the main economic problems takes power.

For each enterprise, the main points are provided for in the production plan (Figure 18).

Rice. 18.

economic economic price economy

There are countries in which all resources, including consumer goods and services, are allocated by directive. This is, for example, how economic life is organized in the DPRK. Currently, command economies operate in Cuba, North Korea, and some countries in Southeast and Central Asia.

A mixed economy occupies an intermediate position between a purely market economy and a command economy. Most countries in the world live in this economy. It all depends on the extent to which the government is involved in the economy.

Table 5. Solving the main issues in a mixed economy

Thus, in the conditions of economic activity, all participants in economic processes are in one way or another in a state of choice: they choose which resource to use now and which to use later, which goods to produce, etc. Accordingly, three fundamental questions arise in economics: “what to produce?”, “how to produce?” and “for whom to produce?” The answer to these three questions depends on the type of economic system used, which in turn differs in the way it is organized economic life, attitude towards property, degree of government regulation, etc. It is these distinctive features that underlie the solution to the issues raised.

Let's analyze economic efficiency the types of economic systems described above for a number of countries using different economies, based on data contained in United Nations (UN) Reports.

To analyze the effectiveness of the applied economic system, levels of development different countries Economists most often use indicators:

· gross domestic product (GDP) per capita;

· gross national product (GNP) per capita;

· indicator of economic competitiveness;

· human development index (HDI).

We focus on the analysis of such countries as Russia and China - they represent a mixed economy, the USA is a market economy, as an example of a traditional type of economic system, countries are indicated that are in last place on the list, which means that these countries have an undeveloped economy, and such an economy is assessed as traditional. At the end, an analysis of the USSR as a country representing a planned economy will be carried out.

GDP per capita determines the level economic development states. GDP per capita cannot be considered an accurate characteristic, since the sectoral structure of production, the quality of manufactured goods, the efficiency of materials and energy consumption per unit of production, etc. are of considerable importance. For comparability, all indicators are expressed in a single currency - the US dollar. Recalculations from national currencies into dollars are carried out at market exchange rates.

Tables 6 and 7 show annual GDP per capita in the world's richest and poorest countries, in nominal (absolute) terms, expressed in current US dollars (not adjusted for inflation). Data are presented as of 2014 (published in July 2015, updated in December 2015).

Table 6. Countries with the highest GDP per capita in 2015

	GDP, million dollars		GDP million dollars
	Luxembourg			Isle Of Man
	Liechtenstein
	Singapore

Table 7. Countries with the lowest GDP per capita in 2015

Thus, according to the rating tables, we can conclude that the United States, with its market economy significantly ahead of Russia and China, which are very far from the leading positions; as for countries with traditional economies, they are located at the very end of the list, which indicates minimal values ​​of GDP per capita and speaks of the backwardness and underdevelopment of their economic systems. Russia ranks 79th (from 47th in 2007) in the world in terms of GDP per capita (23,700), China 112th (14,300), USA 19th (56,300).

Gross national income per capita gives an idea of ​​the amount of goods and services produced on average per resident of the state, or, in other words, how much each resident of the country would receive if the entire annual national income were distributed among everyone citizens of the country equally. GNI per capita is also called "per capita income" or "per capita income".

Tables 8 and 9 show annual GNP per capita in the world's richest and poorest countries in nominal (absolute) terms, expressed in US dollars at current prices (not adjusted for inflation). Data are presented as of 2014 (published in July 2015, updated in December 2015).

Table 8. Countries with the highest GNP per capita in 2015

Table 9. Countries with the lowest GNP per capita in 2015

The first places are occupied by economically developed countries, including the USA - 10th place (55200), which closes the top ten, Russia ranks 57th in the world in terms of GDP per capita (13220), China 80th place (7400), which closes the country's ranking with a traditional economy, for comparison, Niger - $410 million.

In recent years, the indicator of economic competitiveness has been used as a criterion for the effectiveness of the economic system.

For comparison, China and India rank 40th and 50th in this ranking, respectively. Economically developed countries retain first place.

The competitiveness indicator cannot fully characterize the economic efficiency of a country, but it fairly reliably assesses one of all sides. The category of competitiveness is one of the key ones, since it expresses the economic, scientific, technical, production and other capabilities of the country’s economy.

Tables 10 and 11 show the values ​​of the competitiveness index in the richest and poorest countries in the world. Data are presented as of 2014 (published in July 2015, updated in December 2015).

Table 10. Countries with the highest competitiveness index in 2015

Table 11. Countries with the lowest competitiveness index in 2015

The 2014-2015 Global Competitiveness Ranking is topped by Switzerland, which has been ranked first for the sixth year in a row. Second place, like last year, is occupied by Singapore. The United States improved its ranking from 5th to 3rd place and continues to be the world leader in providing innovative products and services. Finland takes fourth place, Germany takes fifth place. Further in the top ten rankings are: Japan (6th place), Hong Kong (7th), the Netherlands (8th), Great Britain (9th) and Sweden (10th).

In 2015, Russia rose in the ranking from 53rd place to 45th (4.44). Compared to the previous year, Russia’s position has improved largely due to macroeconomic factors, in particular due to the low level government debt and a continuing budget surplus.

An important indicator of the effectiveness of the economic system is the standard of living of the population. The Human Development Report, published by a specialized international recording body - the United Nations Development Program (UNDP), provides human development indices (HDI).

Tables 12 and 13 show the HDI values ​​in the richest and poorest countries in the world. Data are presented as of 2014 (published in July 2015, updated in December 2015).

Table 12. Countries with the highest HDI in 2015

Table 13. Countries with the lowest HDI in 2015

The leading position is occupied by Norway, second place in the ranking belongs to Australia, and the USA is in 8th place. Niger has the lowest HDI score. Russia, according to UNDP data, ranks 50th in the list in 2015 (0.798). According to this indicator, our country is ahead of Panama, Belarus, Mexico, and Uruguay. China ranks 90th (0.727). In 1988, the USSR was in 26th place according to a UN report.

Let's consider the key performance indicators of a planned economy using the example of the USSR with the end. 20s - early 30s XX century until 1992

Until the end of the existence of the USSR, the Soviet economy and industry ranked second in the world in terms of gross indicators, second only to the United States (approximately 50% of the US economy). The USSR's share in the world industrial products was 20%. Only at the turn of the 1980s and 1990s. The USSR's GDP, without taking into account price parity, turned out to be slightly less than that of Japan.

In 1988, the USSR was in 26th place in terms of living standards (HDI) according to the UN report (Table 14).

USSR-Russia

During the period from 1950 to 1981, the USSR's GNP, according to the CIA, grew by an average of 4.6% per year, while the growth of US GNP over the same period averaged 3.4% per year.

From the data of GDP, GNP and the list of places according to the HDI it follows that the USSR was catching up with the developed countries of Western Europe.

Thus, based on the analysis of the main indicators of economic efficiency of countries representing various types of economies, certain conclusions can be drawn.

Definitely, the traditional economy cannot be called the most effective, since the countries in which it is used occupy the last places in the rating tables for all indicators.

The mixed economy does not have a clear interpretation. There are several interpretations, but they all do not contradict each other. A mixed economy is a simultaneous combination of the private and public sectors of the economy, market and government regulation, capitalist trends and socialization of life, economic and non-economic principles. If we rely on the data of the study, we can say that countries that are representatives of a mixed economy, and these are Russia and China, are far from leading positions and are inferior developed countries, with a market economy in all key indicators: in terms of GDP, GNP, etc.

The most controversial issue at the present stage is the choice between a planned and market economy.

At the same time, based on the analyzed data, we can say that countries with market economies have the best indicators and are the leaders of the rating under consideration.

I consider it more acceptable to consider a planned economy using the example of the USSR before 1990.

A planned economy and a market economy are just ways to achieve a certain goal (plan). In one case this is a method of directive-addressed management, in the other it is structureless management.

So, which method is better?! Each area of ​​production has its own better management method. For example, for the production of consumer goods, the market method is better, since there can be a great many plants and factories and it is impossible to keep track of them all, especially since in this case the private owner is much more efficient than when the owner is the state. Heavy industry may or may not be profitable. Or it may become profitable after a significant amount of time. But, nevertheless, it is an integral element of the economy. Defense factories, ferrous metallurgy, oil industry. Here, of course, “public administration” is most appropriate.

In the USSR it was a structural method of management, directive-addressed, i.e. on command from above, everyone did what was required. Those. the plan is the goals of the state, and the market is the way to achieve the plan in a structureless way. Therefore, when a planned economy is contrasted with a market economy, it is the same as comparing a city with the road along which you walk to it.

Thus, at the present stage, the question of the effectiveness of one or another type of economic system is open and problematic. It all depends on the goals pursued by the state and what plan it adheres to.

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

Concept of economic system

An economic system is a system of all economic processes and industrial relations that has developed in a particular society. This concept refers to an algorithm, a way of organizing the production life of society, which presupposes the presence of stable connections between producers on the one hand and consumers on the other.

The following processes are the main ones in any economic system:

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

Characteristics of types of economic systems, in general, comes down to the analysis of five main parameters for comparison. This:

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

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

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

Let's take a closer look at how all these types differ from each other.

Traditional economic system

This economic system is characterized by gathering, hunting and low-productivity 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 load on nature.

Command-plan economic system

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

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

• lack of freedom for producers (commands to produce “what and in what quantities” were sent from above);
• dissatisfaction with a large number of economic needs of consumers;
• chronic shortages of some goods;
• emergence (as a natural reaction to the previous point);
• the inability to quickly and effectively implement the latest achievements of scientific and technological progress (due to which the planned economy always remains one step behind other competitors in the global market).

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 modern world. Also known by another name: capitalism. The fundamental principles of this system are the principles of individualism, free enterprise and healthy market competition, based on the relationship between supply and demand. Private property dominates here, and the main incentive for production activity is the thirst for profit.

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

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

In addition, there is also a fourth type - a mixed type of economic system, in which both the state and the private sector have 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 that are characterized by one or another economic system. For this purpose, a special table is presented below. The types of economic systems are presented in it taking into account the geography of their distribution. It is worth noting that this table is very subjective, since for many modern states it can be difficult to unambiguously assess which system 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, today the country’s economic system is considered 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-planned, market, and mixed systems.

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