9. understanding your place;

10. desire to learn.

Japan is characterized by long working hours. On average, a man spends 57.7 hours a week at work, 10 hours more than Americans and Western Europeans.

There are no sharp pay gaps across companies. After taxes, the average managing director's salary is about 10 times what the lowest-paid worker earns, compared with an average of 100 times in the United States.

The female workforce occupies a unique position in labor relations. The management of many companies views female staff as purely “expendable.” In unfavorable economic conditions, this category of workers is the first to be laid off. In government statistics, women are classified as housewives, so when they lose their jobs, they are not included in the number of unemployed. This simple technique helps keep official unemployment figures low. The average salary of Japanese women is half that of men. However, Japanese women have managed to combine family and career, as a result of which divorces are very rare in Japan.

The system of education, training and retraining of personnel is based on sociocultural traditions. That's why there are more scientists in Japan than in all of Europe.

Thanks to the adoption of all these principles and values ​​in the early 50s, rapid economic growth began in the destroyed and weakened Japan, in terms of which it overtook all capitalist countries. The acceleration of growth was facilitated by:

First, extensive renewal of worn-out and outdated plant equipment. Now in Japan, 2/3 of the equipment is the latest in scientific and technological progress. The country is expanding its own scientific and technological research.

Secondly, one of the decisive factors was the brutal exploitation of the working class.

Thirdly, state-monopoly capitalism contributed in every possible way to the restructuring of Japanese industry: the state assumed a significant part of the costs of reconstruction and new construction of enterprises, provided monopolies with tax benefits and broad credit.

Fourthly, when spending on the army was small, the state had the opportunity to invest money in industry, but under pressure from the reactionary forces, Japan had to revive the military-industrial complex, which led to an outflow of funds from the economy.

Now Japanese industry specializes in processing imported raw materials and developing high technologies.

Swedish economic model

The term “Swedish model” arose in connection with the emergence of Sweden as one of the most socio-economically developed countries. It appeared in the late 60s, when foreign observers began to note Sweden's successful combination of rapid economic growth with an extensive reform policy against the backdrop of a relative social conflict-free society. This image of a successful and serene Sweden contrasted especially strongly with the growth of social and political conflicts in the surrounding world. Now this term is used in different meanings and has different meanings depending on what is meant by it. Some note the mixed nature of the Swedish economy, combining market relations and government regulation, predominant private ownership in production and the socialization of consumption. Another characteristic feature of post-war Sweden is the specificity of the relationship between labor and capital in the labor market. .

For many decades, an important part of Swedish reality was a centralized system of collective wage bargaining, with powerful trade union organizations and employers as the main actors, and trade union policies based on the principles of solidarity between different groups of workers.

Another way of defining the Swedish model is based on the fact that Swedish policy clearly has two dominant goals: full employment and income equalization, which determine the methods of economic policy.

An active policy in a highly developed labor market and an exceptionally large public sector (meaning primarily the sphere of redistribution, and not state ownership) are seen as the results of this policy.

Finally, in the broadest sense, the Swedish model is the entire complex of socio-economic and political realities in the country with its high standard of living and wide-ranging social policy. Thus, the concept of “Swedish model” does not have an unambiguous interpretation.

The main goals of the model, as already noted, for a long time were full employment and income equalization. Their dominance can be explained by the unique strength of the Swedish labor movement. For more than half a century - since 1932 (with the exception of the years) - the Social Democratic Party of Sweden (SDLP) has been in power. For decades, the Swedish Central Trade Union Association has been closely cooperating with the SDLP, which strengthens the reformist labor movement in the country. Sweden differs from other countries in its adoption of full employment as the main and permanent goal of economic policy, and the Swedish people as a whole are strong supporters of it. The desire for equality is strong in Sweden. When the Social Democratic leader Per Albin Hansson put forward the concept of Sweden as the “home of the people” in 1928, which spoke of the common interests of the nation in creating a common home, large sections of the population outside the labor movement were able to accept his views. In Sweden, social democratic ideas attract a significant part of the middle strata. .

Among the specific factors inherent specifically in Sweden, it is necessary to include constant foreign policy neutrality since 1814, non-participation in both world wars, the record length of stay in power of the Social Democratic Labor Party, historical traditions of peaceful methods of transition to new formations, in particular from feudalism to capitalism, long-term favorable and stable conditions for economic development, the dominance of reformism in the labor movement, which established these principles in its relations with capital (their symbol was the agreement between the leadership of trade unions and entrepreneurs in Saltschebaden in 1938), the search for compromises based on taking into account the interests of various parties .

Economic development was influenced to a certain extent by culture and historical background. Entrepreneurship is an integral part of Swedish traditions. Since the times of the Vikings, Sweden has known enterprises for the production of weapons and jewelry. The world's first company, Strura Kopparberg (founded more than 700 years ago), appeared in Sweden and is still one of the country's dozen largest exporters.

The successful functioning of the economic system depends on price dynamics, the competitiveness of Swedish industry and economic growth. In particular, inflation is a threat to both equality and the competitiveness of the Swedish economy. Therefore, methods must be used to maintain full employment that do not lead to inflation and negative impact on the economy. As practice has shown, the dilemma between unemployment and inflation was the Achilles heel of the Swedish model.

Since the mid-70s, due to the intensification of competition in foreign markets and a deep economic crisis, the country's situation has become noticeably more difficult, and the Swedish model began to misfire. In particular, some industries that found themselves in a deep structural crisis began to receive government assistance, and on a very large scale. But, despite the gloomy forecasts of many economists, Sweden was able to overcome the crisis. The continuous economic recovery that has continued since 1983 has shown that the Swedish model has been able to adapt to changing conditions and has shown its viability.

The Swedish model is based on the position that a decentralized market production system is effective, the state does not interfere in the production activities of an enterprise, and active labor market policies should minimize the social costs of a market economy. The idea is to maximize the growth of private sector production and redistribute as much of the profit as possible by the state through the tax system and the public sector to improve the living standards of the population, but without affecting the fundamentals of production. The emphasis is on infrastructural elements and collective funds. This has led to a very large role for the state in Sweden in the distribution, consumption and redistribution of national income through taxes and government spending that has reached record levels. In reformist ideology, such activity was called “functional socialism.”

2.2 Comparative analysis of Chinese and Russian models

The development of Chinese-Russian trade and economic relations is an urgent need dictated by Chinese-Russian strategic partnership relations in the political sphere. The level of export-import transactions achieved in 2006, which amounted to 2% of the total volume of Chinese foreign trade, not only cannot be compared with more than 50% in the 50s, but also does not reach the level required by the leadership both countries - 5%. If the situation does not change, there will be a danger that strategic partnership relations will become hollow. Sino-Russian trade and economic cooperation covers not only trade, it should also include other areas, complemented by scientific and technological cooperation. This is the only way to achieve the required level - not less than 5% of the total volume of Chinese foreign trade. Otherwise, it will be impossible to talk about stable and strong strategic partnership relations between the two countries in the political field, as well as their further development and strengthening.
The development of Chinese-Russian trade and economic relations is an urgent need, dictated in the economic field by relations of strategic cooperation and partnership, based on the conditions of mutual benefit and mutual complementarity. Geographical location and very significant complementarity in production have become those natural advantages on the basis of which strategic relations of mutual benefit and complementarity in the economy can be built.
The development of Sino-Russian trade and economic relations is urgently necessary to protect the economic security of China and Russia. Modern socio-economic processes suggest combining the efforts of the two countries for the joint development of oil and forest resources and making this task one of the most important for the governments of both countries in order to ensure a constant increase in Russia's foreign exchange earnings and satisfy China's steadily growing needs for oil and timber.
The development of Sino-Russian trade and economic relations is urgently necessary to protect the economic security of China and Russia. Russia's economic security is threatened by a shortage of foreign currency and a deficit in export-import transactions; China's economic security is threatened by a shortage of oil, timber and natural gas. This implies the need to strengthen economic and trade cooperation between the two countries. Russia can convert its natural resources into currency, and China can exchange its financial and human resources for raw materials.
The development of Chinese-Russian trade and economic relations is necessary for the reorganization of the industrial structure in China and Russia. The Russian development strategy puts forward the idea of ​​accelerating the development of the eastern regions and turning them into a new base for the rise of the Russian economy. This represents a rare opportunity for industry restructuring and large-scale development of the two countries' economies and trade.
China needs Russian-made equipment and manufacturing products in the military, space, and military sectors. aviation and shipbuilding industries. I am glad that China and Russia have agreed to create two centers for scientific and technological cooperation in Shandong Province (Yantai City) and Heilongjiang Province (Harbin City). In the course of joint cooperation, it is proposed to produce civil and military aircraft, cosmetic aircraft and military equipment, gas turbines and other large equipment for civil use on the basis of high technology. Cooperation can be carried out on the following conditions: Russia allocates equipment and technology as its share, and China offers funds and a market for joint development and joint production.
Joint development of oil and gas reserves in Russia
We are talking about the accelerated development of the richest oil and gas reserves in Russia, the laying of pipelines to supply oil and gas to China using capital and labor provided by China. With this option, in the next 10 years, China could receive annually 50 million tons of crude oil and 10 billion cubic meters of natural gas, and Russia - more than 10 billion US. dollars or goods for this amount.
Joint development of Russian forest resources
Russia has one-fourth of the world's timber reserves and annually produces twice as much wood as China. After adopting a program to protect natural forests, China has reduced its wood production, but the need for it is growing. It is proposed that Russia increase its production and export of wood to China from the current few million cubic meters to several tens of millions of cubic meters per year, thereby increasing its foreign exchange earnings to US$10 billion. dollars. To meet these needs, Russia will annually spend only part of the natural growth of forests; this will not affect the environment in any way. On the other hand, in China there are several hundred thousand available lumberjacks in the Northeast alone.
Joint development of land resources
Russia ranks first in the world in terms of territory, and in terms of arable land per capita it is 10 times greater than China. However, due to the influence of factors such as labor shortage in agriculture, shortcomings in the management mechanism and the use of scientific achievements in production, there is a shortage of agricultural products, and foreign currency has to be spent on importing them. In China, which has the smallest area per capita in the world and a huge surplus of labor, quite advanced technology of agricultural production has been developed. The population of Russia over the past 10 years has decreased by more than 6 million people; Siberia alone has an urgent need for labor - about 5 million people. In this situation, a way out could be to use high-quality, cheap and abundant Chinese labor to participate in the development of vast areas of eastern Russia, especially in the form of contracts for cultivating land for growing grains, vegetables, fruits, and also in livestock farming. If China exported 1 million people of labor, it would be less than 1% of Russia's population, but would provide cultivation of about 10% of arable land, from which it would be possible to obtain products worth 10 billion US dollars. dollars China and Russia occupy 1/6 of the world's territory, their population is 1/5 of the planet's population. In fact, such cooperation is currently continuously expanding in border areas. If it could be raised to the state level, it would be a powerful incentive to accelerate the development of the economies of both countries.
Joint creation of free trade areas, mutual market trade zones and joint development areas
The conditions for this development are excellent. They are ensured by the long length of our borders, numerous border checkpoints and huge potential trade opportunities. In the very near future, it is necessary to resolve a number of issues: in border areas, especially where there are paired checkpoints and convenient communication routes, to organize free trade zones, trade zones of mutual markets, and economic development areas. This includes the disputed territory - a plot of 400 square meters. km on the islands of B. Ussuriysky and Tarabarova, which could, postponing disputes, be jointly used to create a special trade zone or free port. Thus, China and Russia could avoid taxation or reduce taxation on export-import transactions in order to expand the scope of trade and economic activities.

CHAPTER 3. PROSPECTS FOR THE DEVELOPMENT OF THE RUSSIAN ECONOMY

3.1. Economy of Russia. Main features of the Russian economy

Russia has undergone significant economic changes since the collapse of the Soviet Union and has evolved over the past 20 years from a globally isolated, centrally planned economy to a market-based, globally integrated economic system. During the economic reforms in the 1990s, most industrial enterprises were privatized. Meanwhile, property rights protection in Russia is still weak, and the private sector is subject to significant government interference.

The changes of the early 1990s could not but affect the country's economy, as a result of which Russia's GDP has been constantly declining for more than 5 years. After the collapse of the USSR, the first slight economic growth in Russia occurred only in 1997. In 1997, however, the Asian financial crisis began, which negatively affected the Russian economy. This led to the fact that in 1998 the Russian Government was unable to fully pay off its debts, and the subsequent sharp depreciation of the ruble significantly reduced the already low standard of living of ordinary citizens. Thus, 1998 remained in history as a year of crisis and a large outflow of capital from the country.

Despite such a significant decline, already in 1999 the Russian economy began to recover. The main stimulus for economic growth was the very low exchange rate of the ruble against leading world currencies, which had a very positive impact on domestic production and exports. Then the country entered an era of stable economic growth. Stable economic growth in recent years has been made possible primarily due to high oil prices, combined with structural reforms carried out by the Russian Government over the years. The growth of GDP has caused increased confidence among business circles and ordinary consumers in a more favorable economic future for Russia, as a result of which the influx of foreign investment into the economy has significantly increased and the outflow of capital from the country has practically stopped.

Russian industry is primarily split between producers of globally competitive goods—in 2009, Russia was the world's largest exporter of natural gas, second largest exporter of oil, and third largest exporter of steel and primary aluminum—and other less competitive heavy industries that remain dependent on the Russian domestic market. This dependence on the export of raw materials makes Russia vulnerable to global economic crises and highly volatile world commodity prices. Since 2007, the Russian government has adopted an economic program to reduce this dependence and create a high-tech sector, but the results of the implementation of this program still cannot be boasted.
Russia's economy has grown at an average annual rate of 7% since 1998, leading to a doubling of citizens' real total disposable incomes and the emergence of a middle class. However, in The Russian economy was once again unprepared for the impact of the global economic crisis, as oil prices fell sharply and foreign investment in the economy declined significantly. The Russian Central Bank then spent one third of its gold and foreign exchange reserves (about $600 billion in total) to slow down the devaluation of the ruble. The government also spent about $200 billion to implement an economic rescue plan to increase liquidity in the banking sector and support domestic companies unable to repay large foreign debts.
The decline in economic activity was overcome in mid-2009 and the Russian economy began to grow in the first quarter of 2010. However, severe drought and fires in central Russia have reduced agricultural output, causing a ban on grain exports and a slowdown in other sectors such as manufacturing and retail sales.

High oil prices supported growth of the Russian economy in the first quarter of 2011 and helped help Russia reduce the budget deficit inherited from the 2008–09 crisis, but inflation and increased government spending limited the positive impact of oil revenues.

Russia's long-term problems include a shrinking labor force, high levels of corruption, difficulties in accessing capital for small businesses and non-energy companies, and poor infrastructure in need of large investments.

3.2. Prospects for the development of the Russian economy

Russia's GDP in 2012 will increase by 3.5 percent compared to 4.2 percent in 2011. This assessment is contained in the forecast of socio-economic development for the years prepared by the Ministry of Economic Development of the Russian Federation.

In 2013, GDP growth is again expected at 4.2 percent, in 2014 - 4.6 percent, said Deputy Head of the Ministry Andrei Klepach. GDP growth estimates for the years have been reduced compared to those included in the approved forecast for the years (3.9 and 4.5 percent, respectively), Interfax reports.

The average annual oil price in the forecast for the years is set at $93, $95, $97.3 compared to $105 in 2011. Klepach said earlier that the price of oil, according to the Ministry of Economic Development, will be above $100 in years, but the basic forecast is based on a lower, conservative estimate.
The average annual dollar exchange rate will be stable and will be 27.9 rubles per 1 dollar in 2014 and 28 rubles in 2014 compared to 28.4 rubles in 2011.

The growth of industrial production for the years is included in the forecast at the level of 3.5, 4 and 4.2 percent, respectively (in 2011 - 5.4 percent), the growth of retail trade turnover - 4.5, 5.3 and 6 percent (3.8 percent), growth in real income of the population - 4, 4.4 and 5 percent (3.8 percent).
Exports in 2012 will decrease from $503.8 billion in 2011 to $494.4 billion, in 2013 they will increase to $512.3 billion, and in 2014 - to $536.5 billion. At the same time, imports will grow progressively - from $308.7 billion in 2011 to $352.4 billion, $396 billion and $444.6 billion in 2011, respectively.
The inflation forecast remains unchanged: 5-6 percent in 2012, 4.5-5.5 percent in 2013 and 4-5 percent in 2014, compared to 7-7.5 percent in 2011.

CONCLUSION

Having understood the essence of the system, one can understand many of the laws of economic life.

For the formation of the Russian state, a centralized power is needed, capable of controlling and adjusting the activities of any institutions. Market mechanisms are especially harmful in areas related specifically to human and social factors in the life of society as a whole.

No system in its pure form is capable of meeting all the needs of society. And only the correct combination in special proportions of several economic mechanisms can bring us as close as possible to the fulfillment of basic economic tasks.

In Russia, in recent years, economic reforms related to the transition to market relations have begun to be implemented.

However, currently in Russia there is an eclectic economic system consisting of elements of the administrative-command system, the market economy of the era of free competition and the modern market system.

It is possible to call the property relations and organizational forms existing in Russia an economic system (albeit an eclectic one) only conditionally.

An important feature of the system is missing - its relative stability. After all, in the economic life of Russia everything is in motion and has a transitional character.

This transition, apparently, stretches over decades, and from this point of view, the transitional (from command-administrative to modern market) economy can be called a system.

The final choice of a specific model of the transition system, and especially the model of a modern market economy in Russia, will ultimately be determined by the balance of political forces in the country, the nature of the ongoing reforms, the scale and effective support of reforms by the international community, as well as historical traditions.

The totality of economic processes occurring in a society on the basis of economic relations and organizational forms operating in it represents the economic system of this society. An indispensable part of economic systems are components, parts, that is, what it consists of and without which it is impossible. There are a lot of components of an economic system, and this characteristic of the system is of decisive importance in the comparative analysis of various systems.

National economic systems can have different components, and when typing economic systems, this characteristic is of decisive importance. For example, in a planned economy there was simply no need for a currency system or a network of commercial banks. Although the problem remains debatable, this feature is decisive in the classification of economic systems.

The structure of the system and the compatibility of its elements also determine the essence of the economic system. The system is stable and functions effectively when the parts are compatible and their interaction ensures the development of the system. This feature is of particular importance for developing problems of transformation of economic systems. The destruction of the main element of the system leads to the destruction of the previous system, and not the main elements - to a gradual transformation (shock therapy or gradualism when carrying out reforms).

The most important feature of a complex system is the internal structure of interconnected elements; its purposefulness, its desire to achieve a certain goal. Together with the means to achieve the goal, this feature constitutes the functional aspect of the system. It follows that the transformation of the economic system is not an end in itself, but a means of solving a certain target function.

The system operates in an environment external to it, with which it is connected through a variety of communications. The target orientation of the system is transferred from a higher order system. In relation to the economic system, this means that a given society sets certain goals for it and, depending on this, evaluates this system through a certain set of indicators.

And finally, there is the management aspect of the system, without which the system cannot purposefully develop. Regardless of whether management decisions are objective or subjective, consistency itself presupposes the presence of this attribute.

In conclusion, we note that with the conscious transformation of the economic system, the main condition for preventing its final collapse is the “smooth” withdrawal of “extra” elements and the introduction of new ones; to enable them to adapt to the new environment and avoid incompatibility of elements in this particular economic system.

This work was downloaded from the site http://www. ***** Job ID: 32340

LIST OF REFERENCES USED:

1. On state regulation of natural monopolies // Society and EconomicsN 4-5. - P.274-287.

2. Voloshina and financial methods of stimulating the process of internal accumulation // Finance - 2009 - No. 4.

3. "State regulation and price control in capitalist countries." M.: "Finance and Statistics", 2009.

4. State regulation in the economy (some aspects of theory and world experience) // Problems of theory and practice of management

5. Lekomtsev projects Russia’s strategic course, the path to a new quality of life for Russians. Money magazine dated December 15, 2010

6. . Economy. Basic course:. – 7th ed. – M.: Vita-Press, 2007. – 272 p.: ill.

7. “The role of the state in the modern economic system”, Questions of Economics, N 11, 2008.

8. Pole - 3rd ed., revised. and additional - M.: UNITY-DANA, 2007.- P. 482.

9. Sergienko long-term economic growth // Finance-2010-№12.

10. - P. Samuelson. On state regulation of the economy // Economist. - M№ 7. - S.

12. Financial and credit encyclopedic dictionary / Under general. ed. . - M: Finance and Statistics, 2002. - S., 1045.

13. Finance. Textbook. Second edition, revised and expanded / Under. ed. prof. . - M.: Vel-bi", 2008.

14. Finance: Textbook / Ed. . - M.: Finance and Statistics, 2009.

15. Finance: Textbook/ Under. ed. , noah. -M.: Finance and Statistics, 2004.

16. Finance: Textbook. - M.: Publishing House “Social Relations”. 2003.

17. Economic theory: textbook / ed. – 2nd ed., revised. and additional – M: Yurayt Publishing House: Higher Education, 2010. – 515s – (Universities of Russia).

18. Speech by Russian President Putin on priority national projects. www. national. *****

19. The years will be turning points for the Russian economy. Russian Agency for International Information. From December 30, 2005. www. *****

20. The main directions of the unified state monetary policy for 2006 /Money and credit.

This work was downloaded from the site http://www. ***** Job ID: 32340

The traditional economic system is based on traditions passed down from generation to generation. Traditions and customs determine production technologies, types of goods and services produced. The economic role of each member of society is dominated by heredity and caste. Modern technologies and innovations are not used; manual labor is widely used. Currently, traditional economies are found in a small number of developing countries.

What is an economic system? Each state at different times had and still has a certain economic system. The economic system can be characterized by the combination of elements consisting of laws, norms, traditions, values, institutions with the help of which society solves the problems of economic management, and the totality of economic and social relations of consumers and producers.

Comparison of the advantages and disadvantages of economic systems is made according to the following criteria:

• the predominant form of farming - natural or commodity form of farming;
• main types of property - communal, cooperative-public, private and mixed;
• ways of making decisions on income distribution. Community-equalization system (income is distributed according to factors of production) and distribution according to the quality and quantity of labor contribution;
• the degree of government intervention - free, economically regulated, administrative-command and mixed economic systems;
• way of coordinating the actions of business entities - traditional, market and planned economic systems;
• degree of openness to international relations – closed and open systems;
• degree of maturity – emerging, developed and degrading systems.

In modern economics, economic systems are classified into 4 main types with characteristic properties:

1. Traditional.
2. Administrative command (planning).
3. Market.
4. Mixed.

The earliest form, formed in antiquity, is considered to be traditional economics, when economic and business activities, interpersonal relationships in society and the system of distribution of material goods are determined by the principles of traditions and customs.

A distinctive feature of the command-administrative (centralized) system is the predominant role of the state in the economy and the minimum of market relations. The state regulates the main economic processes:

• location of production;
• supply and distribution channels;
• fixing wages and allowances;
• establishing profitability indicators.

The main features of a market economic system are considered to be developed social institutions and citizen participation in governance. In a market economy, material goods must be distributed by self-regulating mechanisms of supply and demand. Consequently, the best material goods will be acquired by citizens who have the necessary capital. On the other hand, other people are not prohibited from founding their own business, investing labor, developing as a subject of the economy and acquiring the status of a person with capital.

Distinctive features of traditional economics

Main features of traditional society:

Non-market economy originated in the deep past, and is based on subsistence production, that is, the manufacture of products for one’s own consumption. Economic entities at that time were family, clan, tribe, community.

The traditional economic system is characterized by the predominance of peasant and craft farms, where descendants inherit the occupations of their ancestors. The main feature of this economy is that property belongs to individual farms, and each owner has the right to manage his own resources.

The signs of a traditional economy are:

• slow introduction and development of modern technologies;
• power is built on traditional tribal relations;
• semi-feudal socio-economic system;
• characterized by widespread use of manual labor;
• farms make up the bulk of the economy;
• there is no or underdeveloped mining industry;
• exploitation of the lower classes and restriction of their rights and freedoms;
• science is not developing;
• only a small stratum of society, which is the ruling elite, can receive education;
• religious or military pressure is exerted on the political views of the people.

The main characteristic of the traditional economic system is considered to be the low degree of development of production technologies, which causes low labor productivity. The traditional economy characteristic of this type of economy is subsistence farming (farming, hunting, gathering predominate). The introduction of modern technologies causes the destruction of the foundations of such an economy.

The traditional system is characterized by a weak economic connection between populated areas. This hinders the stable development of the economy and forces people to take on hard physical labor. The signs also include traditional communities themselves, which are a condition for the survival of a large group of people, but hinder progress.

Poorly developed trade can characterize the traditional economic system. Due to low labor productivity, there is no surplus left in the community that can be sold. Trade ties even with nearby villages are very weak. This helps to consolidate established practices and hinders the introduction of new technologies.

A distinctive feature of the traditional economy is social and economic stagnation. The development of society is very slow or does not develop at all. The community has maintained its way of life since ancient times. An example from history where this happened and led to disaster is the indigenous people of America and Africa.

Economic reasons first cause stagnation, then it is consolidated by a system of informal institutions that make up the total traditions and customs of the country. Traditions are involved in regulating the distribution of political power and economic resources. Traditional economics has the following characteristics:

1. Dogmatic.
2. Inability to adapt to changing conditions.
3. Strict execution.

With this structure of society, there is a predominance of the agricultural sector in production. The main value for such communities is food products, since low labor productivity barely allows farmers to feed themselves, and imperfect technology coupled with a high birth rate causes the problem of starvation.

Influence of state and religion

In a traditional economic system, primitive power structures are typical. In most cases, the form of government in such communities is an absolute monarchy, supported by a large military class. The upper classes own the main resources and material goods.

Political power in such a society does not provide social guarantees and development, but collects rent for the upper classes. The state has no social orientation and forcibly preserves the existing order.

The traditional economy is based on caste and class divisions of society and is supported by state violence. The main systemic principle of such a society is the desire of the ruling class to continue to regularly extract rent and maintain the usual way of life of society, and not to introduce modern technologies and innovations.

The state is not the only institution that regulates the economy in traditional societies. Religion plays a significant role in such a society. Religious institutions are being introduced into power structures and are formed into a privileged class, which is also interested in collecting and receiving rent. Religious institutions consolidate and justify the practice of state violence against those who try to change the existing social structure.

Pros and cons of the traditional economic system

Table of advantages and disadvantages:

Modern states with traditional economies

In most modern countries, this period in the economy has already been overcome. Nowadays, there are very few countries where such a way of life has been preserved. These countries are located in Africa and Southeast Asia. Labor productivity remains low there and old technologies are used. However, globalization and the impact of innovation herald the possibility of the end of the era of the traditional economic system.

An example of countries with traditional economies (with minor reservations) are the following: Bhutan, Afghanistan, Nepal, Burkina Faso, Laos, Vanuatu, Burundi, Myanmar, Zimbabwe, Benin, Chad, Barbados, Ethiopia, etc.

Economic theory: lecture notes Dushenkina Elena Alekseevna

4. Economic systems, their main types

System- this is a set of elements that form a certain unity and integrity due to stable relationships and connections between elements within this system.

Economic systems– is a set of interconnected economic elements that form a certain integrity, the economic structure of society; the unity of relations arising regarding the production, distribution, exchange and consumption of economic goods. The following features of the economic system are distinguished:

1) interaction of production factors;

2) the unity of the phases of reproduction - consumption, exchange, distribution and production;

3) leading place of ownership.

In order to determine what type of economic system dominates in a given economy, it is necessary to determine its main components:

1) what form of ownership is considered dominant in the economic system;

2) what methods and techniques are used in managing and regulating the economy;

3) what methods are used in the most efficient distribution of resources and benefits;

4) how prices for goods and services are set (pricing).

The functioning of any economic system is carried out on the basis of organizational and economic relations that arise in the process of reproduction, that is, in the process of production, distribution, exchange and consumption. The forms of connections of the organization of the economic system include:

1) social division of labor (the performance by an employee of an enterprise of various labor responsibilities for the production of goods or services, in other words - specialization);

2) labor cooperation (participation of various people in the production process);

3) centralization (merging several enterprises, firms, organizations into a single whole);

4) concentration (strengthening the position of an enterprise or firm in a competitive market);

5) integration (unification of enterprises, firms, organizations, individual industries, as well as countries for the purpose of running a common economy).

Socio-economic relations- these are connections between people that arise in the production process and are formed on the basis of various forms of ownership of the means of production.

One of the most common is the following classification of economic systems.

1. Traditional economic system is a system in which all major economic issues are resolved on the basis of traditions and customs. Such an economy still exists in geographically remote countries of the world, where the population is organized according to tribal structure (Africa). It is based on backward technology, widespread manual labor, a pronounced multi-structure economy (various forms of management): subsistence communal forms, small-scale production, which is represented by numerous peasant and handicraft farms. Goods and technologies in such an economy are traditional, and distribution is based on caste. Foreign capital plays a huge role in this economy. Such a system is characterized by the active role of the state.

2. Command or administratively planned economy is a system dominated by public (state) ownership of the means of production, collective economic decision-making, and centralized management of the economy through state planning. The plan acts as a coordinating mechanism in such an economy. There are a number of features of state planning:

1) direct management of all enterprises from a single center - the highest echelons of state power, which negates the independence of economic entities;

2) the state completely controls the production and distribution of products, as a result of which free market relationships between individual enterprises are excluded;

3) the state apparatus manages economic activities using predominantly administrative and administrative methods, which undermines material interest in the results of labor.

3. Market economy– an economic system based on the principles of free enterprise, diversity of forms of ownership of the means of production, market pricing, competition, contractual relations between economic entities, limited government intervention in economic activity. In the process of historical development of human society, prerequisites are created for strengthening economic freedom - the ability of an individual to realize his interests and abilities through active activity in the production, distribution, exchange and consumption of economic goods.

Such a system presupposes the existence of a multi-structure economy, that is, a combination of state, private, joint-stock, municipal and other types of property. Each enterprise, firm, organization is given the right to decide for themselves what, how and for whom to produce. At the same time, they focus on supply and demand, and free prices arise as a result of the interaction of numerous sellers with numerous buyers. Freedom of choice and private interest form competitive relations. One of the main prerequisites of pure capitalism is the personal benefit of all participants in economic activity, that is, not only the capitalist entrepreneur, but also the hired worker.

4. Mixed economy– an economic system with elements of other economic systems. This system turned out to be the most flexible, adapted to changing internal and external conditions. The main features of this economic system: socialization and stateization of part of the economy on a national and international scale; economic activity based on quantitative private and state ownership; active state. The state performs the following functions:

1) supports and facilitates the functioning of a market economy (protection of competition, creation of legislation);

2) improve the mechanisms of economic functioning (redistribution of income and wealth), regulate the level of employment, inflation, etc.;

3) solved the following tasks to stabilize the economy:

a) creation of a stable monetary system;

b) ensuring full employment;

c) reduction (stabilization) of the inflation rate;

d) regulation of the balance of payments;

e) the maximum possible smoothing of cyclical fluctuations.

All of the above types of economic systems do not exist separately, but are in constant interaction, forming a complex system of the world economy.