Economic function. The subject and functions of the economic system

The economic system is a concept that can be interpreted by researchers in different contexts. What scientific approaches can be used to analyze its core functions? What is the role of the state as a carrier of institutions that are necessary for the functioning of the economic system?

What are the functions of the economic system?

We will study for the beginning the nuances of terminology concerning the topic under consideration. The concept of "economic function" can be considered, as we noted above, in different contexts. In particular - as corresponding to the characteristics of the economy of the state as a whole. What could this mean?

First of all, it will be about the functions of the economic system, the emergence of which is natural in it for the reason that it is an independent social institution. What exactly are the functions of the economic system identified by modern experts? Among them are:

Reproductive;

- Regulatory;

- technological;

- investment;

- protectionist.

Let's consider their specifics in more detail.

Reproductive function of the economic system

The first economic function at the level of the state management system is reproductive. Its essence is to ensure regular renewal of various economic resources, the availability of which is necessary for the social and economic development of the state, as well as the work of the mechanisms through which the production, distribution, exchange, and consumption of various goods and services by citizens are carried out.

Reproductive economic function of the state influences on what types of activities are engaged in certain categories of citizens, which sectors of the economy will be most developed in the country and what kinds of professions, accordingly, will be most popular. The formation of the function in question depends on the level of socio-economic development of the state, the specifics of its interaction with other countries at the level of foreign economic and political communications, the value system and the characteristics of citizens' culture.

Regulatory function of the economic system

The main economic functions also include regulatory. Its essence is in the development of norms that determine how the society should produce, distribute, exchange, and also consume certain goods and services. The corresponding norms are also formed taking into account the socio-economic development of the society, its traditions, culture, foreign economic and political factors. However, this process takes into account the objective laws that characterize the work of the national economy. It is quite possible that the norms that determine the economic function in question can conflict with the established traditions and priorities of society.

The state can, if it is facilitated by a difficult situation at the level of the economy as a whole or in foreign policy, initiate the introduction of provisions of legislation that require economic entities to act in a certain way, even if this is contrary to their traditional guidelines - since the failure to adopt appropriate norms can lead to serious social problems. The task of the state is to introduce these norms so as to maintain a balance of interests of various social groups and organizations.

Technological function of the economic system

The main economic functions include the technological one, which presupposes the creation, first of all, of infrastructural conditions for carrying out economic activities of citizens and organizations. In this case, it is fair to speak of the distribution of this function by the zones of responsibility of the state and various private entities. If we consider those tasks in terms of implementing the technological function, which is decided by the state, then it is legitimate to include:

- assistance in building the transport infrastructure - first of all, in the form of roads, pipelines, which usually can not be built by private companies;

- provision of resources for communication, in particular satellite, which are based on technologies, usually formed within the framework of state space programs;

- Facilitating the transfer of technology from abroad, as well as the implementation of imports of necessary resources.

Thus, the function in question is among those to which the leading role belongs to the state. At the same time, in this case it is possible to observe the economic functions of society - in the form of commercial enterprises, other specialized organizations, private individuals. Among them are:

- development of new technologies, management methods, decision-making, economic models;

- formation of feedback channels between interested individuals and government bodies;

- agency function associated with the implementation of various government initiatives in the framework of the current direction of political structures in the country.

Investment function

Another important function of the economic system is investment. What is its essence?

In this case, first of all, the economic function of the finances emitted by the state, attracted from abroad or formed at the expense of internal resources is observed. The national economy requires capital for its reproduction and development. The state is probably the key player that influences the formation of resources for obtaining capital by one or another economic entity. The main tools of the country's authorities in the implementation of this function:

- implementation of various budgetary allocations;

- creating a legal framework for credit relations;

- Direct lending.

The first tool can be applied at various levels.

Thus, the institutions directly accountable to the authorities of the country can receive the functions of economic development and, accordingly, the powers in terms of allocating capital. In this case, the capital is transferred to them mainly on a non-reimbursable basis but under condition of strictly software investment in various expenses. Due to the budget, various funds, research organizations that solve certain tasks within the framework of economic development strategy determined by the state can function.

The creation of a legal framework for credit relations is one of the directions of the lawmaking of the authorities of the country. Various normative acts are adopted and introduced in accordance with which a certain capital carrier - for example, the same state or a private investor - can provide monetary loans to interested economic entities. For example - loans for business.

The central bank of the state - as the main financial regulator, sets a key rate for the economy. In accordance with it, private financial organizations are credited, which, in turn, issue loans to private individuals. Managing the key rate, the state affects the intensity of credit relations and contributes to the implementation of the function of the economic system in question.

Protection function of the economic system

The next function of the economic system is protectionism. Its essence lies in ensuring by competent state, and in some cases - private structures, the protection of the interests of economic entities in the framework of their foreign economic activities. Firms and entrepreneurs, working in foreign markets, can face dumping, various tariff restrictions. The state, fulfilling its social and economic functions, should be interested in the fact that enterprises that represent it in foreign markets could conduct business in conditions of equal partnership. If necessary, the authorities can implement certain protectionist measures aimed at protecting national companies.

The state's interest in solving such problems can be due to various factors. Apart from a reasonable priority associated with the protection of the interests of an economic entity, in principle, being a part of the country, such circumstances as:

- the need to maintain stability in a firm for which the external market is the main one and which is a major employer in Russia;

- the need to maintain the competitiveness of the economy on the world market, if the presence of national enterprises in a particular segment of the business is significant.

In a number of cases, the state promotes the implementation of protectionist measures to protect economic entities of friendly countries that are partners in various economic and political associations.

Economic functions as a resource for the development of the national economy

There is another interpretation of the concept of "economic function", which involves its consideration in the context of the state's implementation of the policy of development of the economy as a whole - as a resource for the development of the country. This line of business can be of a diverse nature. In this case, we can trace the economic essence of the function in question, its implementation at the level of existing state institutions.

A corresponding understanding of the term in question is reflected in the views of researchers representing different economic schools. It will be useful to study how the evaluation of the corresponding function in the environment of researchers can be carried out, in more detail.

Realization of economic function by the state: nuances

Among the researchers, 2 rather dissimilar points of view regarding the realization of the state's economic function were disseminated. Thus, according to one version, the authorities of the country should have minimal impact on economic processes: it is expected that their participation will be reduced to the publication of the basic sources of law, in which the basic macroeconomic indicators will be established. Such as, for example, the key rate at which loans should be issued. This position is close to experts representing the liberal school, who argue this point of view by the fact that in a market economy between business entities, relations should be built as freely as possible. Significant interference of the state can, therefore, lead to inequality between them, monopolization of markets.

Another point of view is that the key economic functions of the economy - albeit a market one, first of all, should be laid on the state. Similar views are held by representatives of the school of Keynesianism. The main argument here is insufficient efficiency in the distribution of capital between different sectors of the economy in a free market. In addition, in the event that legal relations between economic entities are built without due supervision by the state, it can also lead to monopolization of the market - with the participation of cartels - in the context of mergers and acquisitions, as a result of which certain economic entities can obtain a preferential position On the market.

In practice, the views we have examined can be supplemented by other views of economists - for example, formed on the basis of the results of economic management by national governments at any given time. The subject and functions of economic science in different countries of the world can, therefore, vary significantly on the basis of different experiences of the state implementing some or other mechanisms for managing the national economy.

At the same time, not only the concepts, but also the institutes, within which the researches of the researchers are realized, can differ. In one state, in the part of managing the national economy, the government's economic unit fulfills key functions; in others, the leading role belongs to parliamentary structures. Thus, the transfer of experience in the implementation of various mechanisms for managing a national economy from one country to another should be carried out taking into account the specific features of the political institutions of states.

Let's consider what advantages and disadvantages each of the noted approaches to management of economic processes can have.

Liberal model of state participation in economic management: nuances

So, this model assumes minimal interference of the country's authorities in economic processes. The main advantages of this approach:

- Freedom of entrepreneurship, building market relations;

- the relative ease of access to capital;

- Investment attractiveness of the economy.

The minuses of the liberal model of state participation in the management of the economy:

- sensitivity of the national economy to crises;

- the potential for monopolizing markets through mergers and acquisitions;

- reduction of the level of protection of interests of companies by the state in the framework of foreign economic activity.

Thus, the approach under which the functions of the economic activity of the state is minimized works mainly in the ideal conditions of economic development - when there is no special reason to talk about the crisis, the saturation of the markets is not large enough for frequent mergers and acquisitions, and the terms of foreign trade - So comfortable that businesses do not need to seek help from the state, counting on its protectionism. Which, however, can still be realized because of the need to maintain the competitiveness of the national economy.

Keynesian model of economic management

The opposite to the liberal approach to economic management - based on the principles of Keynesianism, involves, in turn, significant government intervention in processes at the level of interaction of economic entities within the national market. The main advantages of this approach:

- guaranteeing the implementation of timely protectionist measures against businesses that conduct foreign trade;

- control over the monopolization of the market in terms of mergers and acquisitions;

- protection of enterprises in crisis.

However, the model of economic management in question also has disadvantages:

- the investment attractiveness of the economy is not high enough in many cases, because of the possible bureaucratic barriers to investing in business, transactions, profit;

- the slow development of many industries that could develop faster without state intervention, for example, through the rapid introduction of new technologies;

- possible difficulties for access to capital by interested economic entities - for example, due to emission restrictions by the Central Bank.

In addition, as we noted above, there may be the emergence of administrative monopolies - as a result of the acquisition by individual economic entities of a predominant position in the market with the participation of interested state structures. Obviously, the functions of economic management should be executed by the state taking into account the current situation on the market. Liberalization, or, on the contrary, excessive intervention, may be required based on the objective conditions prevailing in the environment of communications between business entities. Thus, it is fair to speak not so much of the commitment of the authorities to a particular model, but rather of the ability of the government of the country to apply the practical methods envisaged by each of them, depending on specific factors affecting the development of the economy.