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УМКД новый англ экология.doc
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2. Command and administration economy system

This system prevailed earlier in the USSR and Eastern Europe, and several Asian countries.

The characteristic features of the administrative-command system is the public (and in reality - the state) ownership of nearly all economic resources, monopolization and bureaucratization of the economy in specific forms, centralized economic planning as the basis of the economic mechanism. Economic mechanism has a number of features. He assumes, first, the direct management of all enterprises from a single center - the highest echelons of the government, which has eroded the independence of economic actors. Second, the government completely controls the production and distribution of products, thereby avoiding free-market relationship between individual farms. Thirdly, the state apparatus directs economic activity with mainly administrative - administrative practices that undermine a material interest in the outcome of labor.

In countries with the command-administrative system of centralized distribution of material goods, labor and financial resources does not involve the direct producers and consumers based on central planning. A significant part of the resources in accordance with the prevailing ideological earmarked for the development of the military-industrial complex.

Main features:

• state ownership in almost all economic resources; • strong monopolization and bureaucratization of the economy; • centralized, policy economic planning as the basis of the economic mechanism; • the absence of any competition and monopoly producers; • lack of market incentives and motivation of producers; • domination of the producer over the consumer. In markets with such a system is bought only what they produce. Consumer choice not.

The main features of the economic mechanism:

• direct rule by all enterprises from a single center;

• state fully controls the production and distribution of products;

• State apparatus directs economic activity mainly through administrative-command methods.

This type of economic system is characteristic of Cuba, North Korea, Albania, etc.

3. Market economic system

Market - a complex economic system of social relations in the sphere of economic reproduction. It is caused by several principles, which determine its nature and is distinguished from other economic systems. These principles are based on human freedom, his entrepreneurial flair and the fair treatment of the state. The state's role is to effectively regulate the economy. Under the regulation must be understood very wide range of measures, and the efficiency of its use, the higher the credibility of the state.

Distinguishing Features:

• diversity of ownership, including the still occupies a leading place private property in its various forms;

• the scientific and technological revolution, accelerating the creation of powerful industrial and social infrastructure;

• limited government intervention in the economy, however, the government's role in the social sphere is still great;

• changes in the structure of production and consumption (increasing role of services);

• increase the level of education;

• a new attitude to work (creative);

• Increased attention to the environment (limit reckless use of natural resources);

• humanize the economy ("human capital");

• computer science and society (increasing the number of producers of knowledge);

• revival of small business (quick update and high differentiation of products);

• globalization of economic activity (the world has become a single market).