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Essay

On the topic: “The role of economics in the life of society”

There are major and minor roles in our lives. Our life can be divided into different spheres of social life. One of the elements of society is the economic sphere. The economic sphere is the main sphere of society's life; it determines the course of all processes occurring in it.

Economics plays a huge role in the life of society. It provides people with material conditions of existence - food, clothing, housing and other consumer goods. Economics usually includes everything that is associated with the production, distribution, exchange and consumption of goods created by human labor. The main goal and role of the economy is to meet the needs of each individual person, the needs of organizations and enterprises, as well as society as a whole. economy material society welfare

For many centuries, the problem of how to satisfy the numerous needs of people was solved through extensive economic development, that is, the involvement of new spaces and cheap natural resources in the economy.

With the development of scientific and technological progress, it became clear that this approach to the use of resources had exhausted itself: humanity felt their limitations. From this moment on, the economy develops mainly in an intensive way, implying rationality and efficiency in the use of resources. According to this approach, a person must process available resources in such a way as to achieve maximum results with a minimum of costs.

The entire set of goods necessary for a person is created in two complementary spheres of the economy: material production and spiritual production. The production of material goods (bread, machine tools, electricity, etc.) is the basis of the life of human society. In the non-productive sphere, spiritual, cultural and other values are created, services are provided in the field of education, medicine (services mean expedient types of labor with the help of which certain needs of people are satisfied). Production must be continuous.

The level of development of production is reflected in the spirituality of society. If production develops at an increasing rate, then the need for cultural values increases. People, gaining confidence in the future, spend money on various entertainments and purchase goods for consumption.

If production falls, then unemployment rises, uncertainty about the future appears, crime and drug addiction rise, and people seem to withdraw into themselves. A so-called subculture appears. Overcoming negative processes in society stretches on indefinitely. And this hurts all the foundations of the state: family, law and order, etc.

Thus, the standard of living depends on production and labor productivity. The wider and more diverse the production, the higher the productivity of labor, the better the quality of life and well-being of the people.

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Needs

Human life is nothing but problems. One minute we want to take a few sips of cold kvass, then try a fragrant donut, the next second we are already dreaming of a new car or a trip to the sea. We cannot calm down for a single moment and constantly crave something. All these are needs - a person’s need for certain things, resources, intangible values. The role of the economy in the life of society is to satisfy them, to provide us with everything necessary for normal life and development.

All people have different needs. They are constantly transforming - this is how we grow up, get smarter, our life values, statuses, and sometimes even religion and nationality change. But the most interesting thing is that human needs are constantly increasing, and supply can never meet demand. Therefore, a person sets certain restrictions for himself: due to moral principles or due to lack of finances. Economics must also take this into account. And its role in society is to balance needs and limitations, satisfying the “golden” mean between them.

Resources

Another component of the normal life of each of us. Imagine that there will be no gas. We will not be able to cook our own food or heat our houses in winter. You will say that once upon a time our distant ancestors managed without blue fuel: they made fires or built stoves. You can do this now, but why? If there is a resource, you need to sell it to people for their maximum comfort and convenience. This is the economy. Its role in the life of society is to find places where resources are concentrated, create conditions for their extraction, profitable sale and making a good profit from the transaction, so that in the future the same money can be invested again in activities.

Resources are:

Limited. They are divided into renewable (animals and plants) and diminishing (land and mineral resources).
Endless. This includes wind, solar energy and so on.

Unlike needs, the need for resources does not grow like mushrooms after rain. In addition, the need for them is often satisfied.

Benefits

Economics and its role in the life of society are an invariable component of the normal existence of people. It is designed to ensure the availability of not only resources, but also benefits. They can be created by a person for himself or for other people. In the latter case, commodity-money relations work: I provide a service - you pay me for it. For example, you are going to a resort in the summer. The hotel, swimming pool, bowling alley, disco and other infrastructure facilities were built by one person for another. Everyone benefits from this conditional transaction: the first is income, the second is quality rest. These are public goods. Personal ones include creating comfort in your home, engaging in some activity or hobby, and visiting interesting places.

The role of economics in the life of society is undeniable. And this can be clearly seen based on benefits alone. Think about whether we could live in a world where there is a complete absence of culture, no basic housing, no household items. Of course not. Even primitive people with limited mental abilities tried to make their life easier: they came up with an ax, arrows and a bow, a spear. Today we actively use not only these ancient, but also modern benefits - the Internet, computer, smartphone. They are constantly being improved depending on our needs and the resources existing in the world.

Standard of living

What is the place and role of economics in the life of society? Big, one might say, even the most basic. Without its normal functioning, people cannot develop, work for the benefit of the world around them, not to mention the fact that they die of hunger and want. How efficiently an economy operates demonstrates the standard of living of all members of society. It includes providing the people with all the necessary products, goods and services for their safe, comfortable and most convenient existence.

We often ask ourselves why some countries manage to achieve prosperity, while in others many people live below the poverty line. Everything is very simple. Previously, the rulers of the powers believed that a high standard of living should be achieved solely through the conquest of rich lands and the further use of their resources. But over time, people realized that, even staying in their small territory, they could achieve unprecedented heights of development. Take Japan for example: the country is considered rich, although it has small reserves of resources. Thanks to their effective and moderate use, the state can boast of good provision and high income for the majority of citizens. Therefore, the role of economics in the life of society is, of course, very large.

Standard of living criteria

Of course, the main indicator is the efficient use of resources: gas, water, electricity, timber, metal, and so on. The main criteria are also considered:

GDP is gross domestic product per capita. This is the sum of all goods and services produced by a country in a year, divided by the number of inhabitants.
Living wage, ratio of prices to salaries, pensions and scholarships.
Availability of education.
Health level.
State of the environment.
Cultural development.

Ensuring the coordinated and uninterrupted operation of all these systems is the main role of the economy in the life of society. Problems and judgments associated with this concept always change depending on the time period in which the people live. For example, UN experts believe that the standard of living in each country in the modern world is determined by the so-called personality development index. It is calculated using the following values: the country’s GDP, the average life expectancy of its inhabitants, their level of education and general development.

Reasons for low economic efficiency

There are many of them. Firstly, this is the poor performance of the indicators described above. Secondly, the use of old technologies in production, low qualifications of personnel, wasteful use of the benefits and resources of the environment, and so on. Therefore, it is so important to study the role of economics in the life of society from childhood. 10th grade (students) of secondary school should already be closely familiar with the course aimed at revealing basic concepts, so as not to make major mistakes in the future and not lead the country to poverty. On the contrary, be able to maximally improve the work of the area in which the future specialist will work.

Low economic efficiency condemns people to poverty. The level of poverty is determined by assessing a person’s income and the ability to use it to provide themselves with everything they need. It is logical that the richer the state, the higher its threshold. Today, the World Bank has set poverty lines as follows: a daily income of less than $1.25. The role of economics in the life of society is to overcome poverty and improve the standard of living of each member.

The social role of economics in the life of society

The people, their general well-being, and way of life directly depend on the standard of living, the availability of goods and resources. For example, the economy greatly influences a person’s ability to buy housing, find a job, and the number of women involved in production activities. Agree, if in a developed country a man earns enough and is able to provide for his family, his wife has no need to work 40 hours a week, sacrificing attention to the children. She would rather stay at home, take care of the home, and take care of family members. As for work, you can go to work only for pleasure and self-development, and not for making money.

Economics and its role in the life of society can be traced even through the example of childbirth. It usually drops sharply when the welfare of citizens worsens. Average life expectancy is another criterion by which the level of development of a state can be assessed. This should also include the general dissatisfaction of working people, the number of rallies and strikes they organize, and the total production of their labor.

Economics and politics

Ideally, the state should not directly intervene in commodity-money relations. It is only obliged to create optimal conditions for economic development: to pass laws that would give enterprises more freedom, reduce taxes, and guarantee compensation. The government is also called upon to direct funds received as a result of activities to those areas of life that affect the overall well-being of each family: healthcare, education, national security.

The condition of roads, the level of greenery on streets, the degree of environmental pollution, and so on depend only on the competent actions of the state. Thanks to the correct, appropriate distribution of finances, these areas will be maximally developed. As a result, the standard of living of a person will increase, the mood of every member of society will improve, his energy and ability to work will increase - the economy will work more smoothly and will bring even more income. Everything is interconnected. Therefore, if you are asked about the place and role of economics in the life of society, there is only one answer: the most advanced. It is the core of life not only for the entire country as a whole, but also for each individual individually.

Introduction

Recognition of the fact that legal, political, social and economic processes in any society are interconnected has led to the emergence of a number of scientific directions. On this wave, such a direction as economic law was formed.

All the transformations being carried out in Russia today are in one way or another connected with the economy. Without understanding the mechanism of influence of law on the behavior of economic agents - both firms and households - it is impossible to carry out reforms, plan and implement economic and social policies.

Meanwhile, the connection between law and economics is very close, since economic relations are expressed through legal norms that legalize them; new means of economic development (leasing, mortgage, franchising) are sanctioned by law; the state directly intervenes in economic life. For lawyers, economic relations are one of the objects of legal regulation.

In this regard, many questions arise: what range of economic relations is regulated by law, what is the degree of economic freedom of subjects engaged in economic activity, in what cases and under what conditions economic activity can be limited, whether the economy can function on its own, whether the economy needs the state, What impact does international law have on the national economy?

Thus, the interaction between law and economics is two-way: law must correspond to modern social, including economic, realities, and economic agents, when determining the strategies of their behavior, must take into account the restrictions that the existing legal system imposes on them.

economics right legal property

And the very possibility of proper functioning of the economic mechanism presupposes that economic entities take into account the requirements of the law. Neglect of legal norms, gaps in legislation, and the lack of a well-functioning judicial and legal system lead to the destruction of economic ties. Recently, the economics of law has been called the most successful direction in the development of legal theories of the second half of the 20th century.

The purpose of this work is to consider the interaction of economics and law in social relations.

Economics, its role in society

Under the economy in a broad sense understand the system of social production, i.e. the process of creating material goods necessary for human society for its normal existence and development. Klimenko A.V. Social studies: Textbook. allowance / A.V. Klimenko, V.V. Romanian. - M.: Bustard, 2004. - P. 47-49.

Human needs are very diverse. When organizing their economic activities, people pursue certain goals related to obtaining the goods and services they need. To achieve these goals, first of all, labor is needed, i.e. people with abilities and work skills. These people, in the course of their work activities, use means of production, representing a set of objects of labor, i.e. that from which material goods are produced, and the means of labor.

The totality of the means of production and labor power is usually called the productive forces of society. Productive forces- these are people (human factor) who have production skills and carry out the production of material goods, means of production created by society (material factor), as well as technology and organization of the production process.

The entire set of goods and services necessary for a person is created in two complementary spheres of the economy. IN non-production sphere spiritual, cultural and other values are created and similar services are provided (educational, medical, etc.). IN material production material goods are produced (industry, agriculture, etc.) and material services are provided (trade, utilities, transport, etc.).

In the course of practical activities, people producing material goods are faced with a certain level of development of technology and technology, as well as with the relationships that have developed in this regard, which are usually called technological- relationships that develop on a certain technical basis - the relationship of the producer of material goods to the object and means of his labor, as well as to the people with whom he interacts in the technological process.

Another system of relations is considered economic or industrial. The main one is ownership relationship for the means of production.

Thus, today the economic sphere occupies a leading place in the system of social relations and determines the content of the political, legal, spiritual and other spheres of society.

Modern economy is a product of long-term historical development and improvement of various forms of organization of economic life. In most countries, it is market-based, but at the same time it is regulated by the state, which seeks to give it the necessary social orientation.

Law, as a type of social normative regulator, actually affects the most diverse spheres of life of society, the state and the individual. A special place in this regard belongs to the economy, economic relations, economic ties, which represent a kind of material basis for production, reproduction of spiritual, moral, political and other values of social life.

A specialist who has received a law degree with knowledge of economics must know the entire course of legal disciplines of the specialty "Jurisprudence" and, in addition, the subjects of legal support for economic and commercial activities, including knowledge of labor, business, banking, customs law, the basics of tax legislation, investment legislation and notaries.

We will consider some aspects of the interaction between economics and law in the next chapter.

Economics plays a huge role in the life of society. Firstly, it provides people with the material conditions of existence - food, clothing, housing and other consumer goods. Secondly, the economic sphere of society is a system-forming component of society, a decisive sphere of its life, determining the course of all processes occurring in society. It is studied by many sciences, among which the most important are economic theory and social philosophy. It should also be noted that such a relatively new science as ergonomics (it studies a person and his production activities, with the goal of optimizing tools, conditions and the labor process).

Economics in a broad sense is usually understood as a system of social production, i.e., the process of creating material goods necessary for human society for its normal existence and development.

Economics is the sphere of human activity in which wealth is created to satisfy their various needs. A need is a person’s objective need for something.

The entire set of goods and services necessary for a person is created in two complementary spheres of the economy.

In the non-productive sphere, spiritual, cultural and other values are created and similar services are provided (educational, medical, etc.).

Services are understood as expedient types of labor with the help of which certain needs of people are satisfied.

In material production, material goods are produced (industry, agriculture, etc.) and material services are provided (trade, utilities, transport, etc.).

Economics consists of macroeconomics and microeconomics.

Macroeconomics is the level of creating conditions and factors for the effectiveness of economic activity.

Microeconomics is the level of constant interaction between consumers and producers.

The sector of the economy that directly supports production processes is infrastructure. Infrastructure includes production and social spheres.

The production infrastructure includes:

Logistics,

Transport,

Water supply system,

TV-radio communications,

Energy supply.

Into the structure of the economy includes productive forces and production relations.

* Productive forces are the totality of the means of production (objects of labor and instruments of labor), labor and technological processes.

* Industrial relations are the mechanism of creation, distribution, sale and exchange of goods.

Components of the economy are production, distribution, consumption and exchange.

Production is the process of creating material goods, covering both the productive forces of society and the production relations of people

Distribution - division, giving everyone a certain part. The distribution can be according to the size of property, according to work, according to needs.

Consumption is the use of something to satisfy needs. Society consumes produced goods and services.

Exchange is the process of movement of labor products as a form of distribution of values produced by society. Exchange can be monetary, non-monetary, or in kind.

A person’s place in economic relations is primarily characterized by:

1) his position in property relations;

2) its role in the labor (production) process;

3) his participation in business and entrepreneurship;

4) its position in the relations of distribution and consumption of the product produced in society.

By entering into property relations, a person exercises the rights of ownership (the ability to own this or that property), disposal (the ability to change the purpose and ownership of the property), and use (the ability to use the useful properties of the property). The scope of these rights depends on the form of ownership: general, private or mixed.

The most important economic role of a person is his participation in the labor process. Objective characteristics of human labor activity are productivity, efficiency and place in the system of social division of labor.

Its assessment is determined by the degree of compliance with the most important requirements imposed on it: the requirements of professionalism, qualifications, labor, technological and contractual discipline, as well as diligence and initiative.

Today, the economic sphere occupies a leading place in the system of social relations and determines the content of the political, legal, spiritual and other spheres of society. Modern economy is a product of long-term historical development and improvement of various forms of organization of economic life. In most countries, it is market-based, but at the same time it is regulated by the state, which seeks to give it the necessary social orientation. The economy of modern countries is characterized by the process of internationalization of economic life, the result of which is the international division of labor and the formation of a single world economy.

Universal Declaration of Human Rights - general characteristics

Human right - this is a protected, state-provided, legalized opportunity to do something, to implement something.

Human freedom - this is the absence of any restrictions, constraint in anything (behavior, activity, thoughts, intentions, etc.)

The International Bill of Human Rights consists of those adopted by Gen. UN Assembly:

Universal Declaration of Human Rights; (1948)

International Covenant on Economic, Social and Cultural Rights; (December 16, 1966)

International Covenant on Civil and Political Rights; (December 16, 1966)

Optional Protocol to the International Covenant on Civil and Political Rights. (1966)

Universal Declaration of Human Rights adopted by the UN General Assembly on December 10, 1948

The Universal Declaration of Human Rights is a universal ideal (model) of law to which all peoples and all countries should strive. The Declaration ends with an article that clearly states the citizen’s responsibility to society.

The Declaration declares:

All men are born free and equal in dignity and rights and should act towards each other in a spirit of brotherhood;

Every person should have all rights and all freedoms regardless of race, color, sex, language, religion, political or other beliefs, property or class status;

In the exercise of his rights and freedoms, each person shall be subject only to such restrictions as are prescribed by law solely for the purpose of ensuring due recognition and respect for the rights and freedoms of others.

All rights are conditionally divided into three groups:

1st group - “protective” rights: the right to life, to the inviolability of the person, home, to the protection of honor and dignity, to the secrecy of correspondence, etc.

2nd group - presupposes the activity of the person himself: the right to freedom of creativity, to work, to earn money, to freedom of assembly, to freedom of movement, etc.

3rd group - obliges the state and society to take care of the person: the right to health care, to housing, to an adequate standard of living, etc.

The Universal Declaration of Human Rights for the first time reflected the concept of connection and interdependence of the entire complex of human rights and freedoms. It has become a kind of code of conduct for states in the field of human rights, the basis for drawing up national acts on human rights, and the legal basis for concluding new international treaties and covenants on human rights. The Declaration is a kind of regulator of relations between states; failure to comply with its norms lowers the prestige of the state in the eyes of the world community.

The fundamental incentive for the development of production is consumption as the process of using the results of production to satisfy certain needs of people and society. Consumption affects the growth of the scale of production and the development of its industries.

An important manifestation of the economic life of society is exchange relations between people, acting as an exchange of activities, goods and services. What does the farmer exchange agricultural or livestock products for in order to continue production and satisfy his personal needs? And what services does a doctor, for example, use in exchange for providing his professional services?

The development of society and its economic life are closely interconnected. They relate to each other as a whole and its part. Economic life, being influenced by all aspects of social life (social, political, spiritual), in turn, also significantly influences various phenomena of social life and society as a whole. This conclusion is confirmed by the following provisions:
- the existence of society is impossible without the constant production of material goods;
- social production and, above all, the established division of labor and property relations determine the emergence and development of its social structure;
- economic relations actively influence the political life of society (economically dominant social groups, as a rule, strive to influence the work of the state apparatus, the directions of activity of political parties, etc.);
- in the production process, the necessary material conditions are created for the development of the spiritual life of society (buildings of libraries, theaters, equipment for publishing books, newspapers, etc.).

What are the main trends in the development of the economic sphere of society at the turn of two centuries? Significant positive changes have occurred in this area. Economic changes were primarily a consequence of the scientific and technological revolution, the real transformation of science into a direct productive force. Computerization and informatization have become a reality of social production. Not only have completely new technologies emerged, but the speed of their implementation has also increased significantly. Thus, the installation of telephones in 50% of American households occurred 60 years after the invention of the telephone. Today, it took 5 years for a similar level of Internet penetration in the United States. At the turn of the 1990s. what is today called the knowledge economy or the new economy was born. Its distinctive feature is the accelerated development of the intangible sphere and the intangible environment of economic activity. The production, distribution and use of knowledge form the basis of the new economy. Essentially, in the twentieth century. leadership in social production passed to spiritual production, it was the human intellect (its capabilities) that became the factor determining the scale and appearance of modern production.

On the basis of all these changes, the material and spiritual wealth of humanity has increased sharply. In many regions of the world, societies have developed that provide high standards of consumption, comfort and services (welfare states). It is important to note here that changes in social production require the development of creative, individual qualities and abilities of the main participant in production - man.

ECONOMY AND STANDARD OF LIVING

An important indicator and result of the economic life of a society is the standard of living of its members, which is understood as the degree to which the population is provided with goods, services and living conditions necessary for a comfortable and safe existence. Why do some countries manage to achieve high levels of economic development and prosperity, while others cannot escape poverty?

For many centuries, rulers were convinced that the wealth of the country and, accordingly, the well-being of its people was associated with the seizure of territories and the wealth of other peoples in the process of war, with the presence of significant natural resources (timber, oil, gas). However, the modern history of economic development of countries proves that these factors are not decisive. For example, Japan is considered a rich country today, although historically it has limited resources. The level of economic development allows the country to use these minor resources much more productively. It is the efficient use of production resources (remember what are the factors of production) that is considered today to be a valid criterion for the level of economic development of countries. But since economic efficiency is difficult to calculate, to compare the levels of development of countries, economists most often use an indicator such as gross domestic product (GDP) per capita (the total value of all final products and services produced by a country in a year, divided by the population). This measure of economic activity acts as an indicator of the level of well-being or standard of living.

The standard of living in a broad sense includes many indicators: the level of people’s health, the state of the environment, the degree of uneven distribution of income in society, the availability of culture, the cost of living, etc. (Suggest the most important indicators of the level of socio-economic development for Russia that could be used for comparison with other countries.)

United Nations (UN) experts believe that the standard of living is characterized by a special indicator - the human development index, calculated on the basis of the following values: GDP per capita, average life expectancy and level of education.

The level of well-being of the state to a large extent depends on the perfection of economic mechanisms, i.e., methods and forms of combining the efforts of people in solving life support problems. Such economic mechanisms include division of labor, specialization and trade, already familiar to you from history and social science courses. They create conditions for employees to achieve high labor productivity and allow producers to exchange labor results on a mutually beneficial basis. The importance of the operation of economic mechanisms for ensuring the level of well-being of people can be understood if we compare the standard of living of a society based on a subsistence economy (tribes of Africa, Latin America) and a commercial economy (developed Western countries). (Remember the advantages of the latter form of organization of economic life.)

The reason for the low efficiency of the economy may be the use of outdated technologies, a low level of personnel qualifications, wasteful use of natural resources, etc. A low level of economic development leads to a decrease in consumption: in order to consume more, you need to produce more. Thus, the level of economic development directly affects the standard of living in the country.

The minimum level of consumption is determined by such an indicator as the poverty line (level, poverty threshold). The poverty level is the normatively established level of a person’s monetary income for a certain period, which allows him to ensure his physical (physiological) subsistence level. Ideas about poverty vary from country to country. Typically, the wealthier a country as a whole, the higher its national poverty line. Thus, the World Bank has currently established the following poverty lines: for developing countries - $1 per person per day; for Eastern Europe and the CIS - $4; FOR industrialized countries with market economies - $14.4. The conditions and methods of Russia's transition to a market economy have turned poverty into a serious problem for our country.

The main condition for its solution is economic growth.

ECONOMY AND SOCIAL STRUCTURE OF SOCIETY

You already know that within the framework of society as a complex social system, various communities and groups are formed and operate - clans, tribes, classes, nations, families, professional groups, etc. The social structure of society is an integral set of all communities taken into their interaction. The subject of further consideration will be the relationship and mutual influence of the social structure of society and its economic life.

One of the significant communities is the population, which is the most important condition for the life and development of society. The pace of social development, crisis or prosperity largely depends on such indicators as the total population, its growth rate, and health status. In turn, all these indicators are very closely related to the economic life of society. Thus, the birth rate is influenced primarily by the level of material well-being, housing provision, and the degree of women’s involvement in social production. For example, the birth rate in European countries with transition economies (Poland, Hungary, Czech Republic, Slovakia, etc.) has fallen sharply over the past 5-10 years, which is due to the deterioration in living conditions that accompanied economic reforms. In Russia in the 1990s. Also, the number of births per 1 thousand people of the population decreased significantly.

There is also an inverse relationship, when population affects the economy. The acceleration or deceleration of the pace of economic development depends on the total population, population density (in a region with a small population, the division of labor is difficult, subsistence farming lasts longer), the rate of population growth (low rates make it difficult to reproduce the labor force and accordingly reduce production volumes, too high rates population growth forces significant resources to be directed towards its simple physical survival).

The health status of the population is also a factor in economic development. Its deterioration leads to a decrease in labor productivity on the farm and a reduction in life expectancy. In addition, one of the reasons for the sharp decline in life expectancy, for example, among men in Russia (in the 1990s from 64 to 58 years old) was the prevailing social conditions (decrease in income of the population, increase in nervous stress due to socio-economic changes and instability in the society).

The influence of the economic life of society on the formation of professional social communities is noticeable. In traditional societies, where the social structure is most stable, social and professional groups associated with subsistence farming and small-scale production are preserved. In developed Western countries, under the influence of the scientific and technological revolution, a new middle class (intelligentsia, managers, highly skilled workers) is growing. At the same time, structural changes in the economy lead to a reduction in the industrial working class and the disappearance of clear boundaries between it and other social groups.

In the context of socio-economic transformations in Russia, the collapse of previous social relations, people and groups are trying to develop new niches for social and economic survival. A feature of recent years of development of Russian society is the tendency of increasing economic differentiation (differences), expressed in the division of society into groups with different incomes, living standards and consumption. The complication of the social structure manifested itself in the formation of new social groups and layers: entrepreneurs, financiers, stock brokers, merchants, etc.

The economic interests of various social groups are heterogeneous and often oppose each other. For example, in modern Russia the economic interests of workers, entrepreneurs, and intelligentsia are not the same. All of them are opposed by the interests of mafia groups. The social stratification of society exacerbates the conflicting interests of various social groups, including economic ones. In modern society there is a problem of coordinating these interests.

Income inequality poses a particular threat to political and economic stability in society. Development of Russia in the 1990s. led to significant differences in incomes. The market system, left to its own devices, gives advantage to some social strata and, conversely, “punishes” others. If this system is not corrected by certain social policies, then it tends to degenerate into a system that acts in the interests of the minority of society (the elite) and against the majority.

In modern industrialized countries, welfare states are being created, i.e., income is redistributed in favor of the poorer and disadvantaged layers, and social security systems are being created (pensions, health insurance, poverty benefits, etc.). Thus, in Sweden and the Netherlands, social redistribution accounts for about 30% of national income. The social policy of the Russian government includes: social support for low-income citizens, regulation of labor relations and promotion of employment for the unemployed population, freedom of choice of profession, field and place of work, ensuring accessibility of education and assistance in retraining, ensuring freedom of entrepreneurship, etc.

The problem of coordinating the interests of various participants in the economic life of society remains relevant, therefore the economic and social spheres must complement and mutually support each other.

ECONOMY AND POLITICS

Let's see how the economic development of society is influenced by its main political institution - the state. One of the public functions of the state is to use existing opportunities for economic development. Each country is faced with the problem of choosing the best option for such development, and the role of public policy is significant here. In recent decades, this policy has undergone a major reorientation.

Due to the collapse of the economic, political and social system based on central planning, market forces and free enterprise came to be seen as the basis for the viability of the socio-economic system.

In most countries that have chosen the path of market reforms in the economy, privatization and a reduction in the regulatory role of the state have become a prerequisite for economic growth. This is accompanied by a reassessment of the functions and policies of the state. Governments tend to interfere less in areas where the market operates more efficiently. However, this does not mean the elimination of public administration, but rather a change in its forms and an improvement in quality.

In a market economy, the main functions of the state are to facilitate and stimulate the action of market forces through government policy measures. The most general, important condition for the existence of a market economy is the implementation by the state of such political goals as the free development of society, legal order, external and internal security (highlighted by Adam Smith).

The free development of society is understood both as a social and as an economic category. The more valuable the freedom of an individual is recognized in society, the more significant economic freedom is perceived in the state.

The state is interested in ensuring the legal reliability of economic activity in order to benefit from its results. The creation of a legal order involves, first of all, ensuring, with the help of laws, the right to property and its protection, to freedom of entrepreneurial activity, to a system of economic contracts.

Ensuring external and internal security by the state presupposes the creation of institutions to maintain public order within the country and the presence of a professionally trained army capable of protecting the country from external attack.

An important task of the state is to protect and maintain competition in the national economy and combat the desire of firms to monopolize. For example, for the developing market economy of Russia this is one of the pressing problems. (Remember and give examples of antimonopoly regulation of the economy by the Russian government.)

And finally, in a market economy, the most important function of the state is to develop an optimal national strategy for economic development, uniting the efforts of government agencies, private companies, and public organizations for its implementation. This function cannot be provided to automatic market mechanisms. Thus, government policy plays an important role in financing education, healthcare, national culture, etc.

The goals of state policy can be: ensuring full employment, fair distribution of income, protecting the natural complex, etc. Each government chooses the economic priorities necessary for society in its policy. (What, in your opinion, are the policy priorities of the modern Russian state in the economy?)

The economic life of society is also influenced by various political parties and associations.

As we see, the political institutions of society actively influence the economy. Is the economy interested in supporting, for example, political democracy, the rule of law?

The experience of developed countries shows that a market economy provides the basis for supporting democracy, the rule of law, and civil society. The existence of a variety of political and economic structures in a competitive environment reduces the danger for a person to fall under the power of an irresponsible employer or organization, giving him the opportunity to choose who and what to obey.

The conditions of market competition teach people a more responsible attitude towards their business, others, and decision-making. Freedom of enterprise convinces a person that through his own choice of activities and initiative he can change his life for the better.

A market economy is interested in functioning within the framework of the rule of law. Thus, it is important for an entrepreneur to start his own business, knowing the “rules of the game” in the market space, that is, what known laws he can act by, what taxes he can pay. And issues important to the economy, such as the establishment of taxes, environmental laws, and regulations governing the relationship between employers and employees, should be openly discussed, taking into account the opinions of various parties.

In turn, a rule-of-law state relies on civil society, which is made up of citizens who independently make personal decisions to realize private interests. The structural units of civil society in the economic sphere are private enterprises, cooperatives, joint-stock companies and other production units created by citizens on their own initiative.

PRACTICAL CONCLUSIONS

1 Follow the main trends in the country’s economic development, current problems of modern economic and social policy of the Russian government. This will help you competently defend your economic and social rights and interests.

2 Use knowledge of the interests, needs of various social and professional groups and the possibilities for their implementation in modern economic conditions. This will give you the opportunity for informed professional self-determination.

3 Determine your position in relation to the economic policy of the state in order to choose a form of influence on this policy (participation in elections, in the work of parties or associations).

4 Try not just to analyze the positive or negative consequences of economic transformations in the country, but to look for ways of civilized forms of your participation in economic life.

Document

From the work of modern Russian economists “market and social harmony.”

By universal human historical standards, the market mechanism cannot be considered as a completely ideal form. Increasingly, researchers note in this context the so-called “market imperfection”, associated with the very problematic capabilities of the market in achieving equitable distribution and use of resources on Earth, ensuring environmental sustainability, and eliminating unjustified social inequality. According to the UN, the absolute extent of poverty in the world is increasing: it is estimated that the poorest 20% of the world population accounted for only 4% of the world's wealth in the mid-1980s, and the richest 20% accounted for 50% of the world's wealth. Apparently, the future of the world economy must be associated with a more complex economic (socio-economic) mechanism than the market mechanism itself. In this mechanism, an increasing role will belong, along with market exchange relations, to a variety of more subtle mechanisms that involve the achievement of social agreement between sets of subjects of socio-economic relations.

Questions and tasks for the document

1. Why do the authors of the document characterize the market mechanism for regulating the economy as imperfect?
2. What data confirms the deepening social inequality in the world?
3. Using the content of the paragraph, suggest possible (except for market exchange) mechanisms for achieving social agreement between participants in socio-economic relations.

SELF-TEST QUESTIONS

1. What is the place and role of economics in the life of society?
2. What does the wealth and prosperity of a country depend on?
3. What economic mechanisms contribute to the movement of society towards a higher level of well-being?
4. How to ensure social peace in conditions of increasing social differentiation of society?
5. Does a market economy need democracy?
6. Does government policy influence the operating conditions of a market economy?
7. What are the policy priorities of the Russian state in the economy?

TASKS

1 Aristotle, discussing the role of the state in economic affairs, noted that “the purpose of the state is the joint advancement towards a high quality of life.” Do you share this point of view? Justify your answer.