2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16
Economics is a very broad science that studies the economic life of mankind. Perhaps everyone who has devoted at least a few hours to it knows about such moments as: production, distribution, exchange and consumption. What is the name of their collection? Just a reproductive process.
General information
And you should start with a definition. The reproductive process is the sum of social needs. Their degree of satisfaction depends on the financial capabilities, resources and potential of the state. Therefore, the main goal of this process is its organization in such a way that it is aimed at increasing social we alth. This process can be considered in regional, state and international aspects. In its study, the stages of the reproductive process play an important role. These are the previously mentioned production, distribution, exchange and consumption. Without them, the implementation of the process seems impossible. Although in certain cases, this list may be amended. let'slet's look at the stages in more detail.
What are the stages of the reproduction process?
The starting point for learning is production. At this stage, a product (that is, non-material goods and services) is created. Its importance lies in the fact that you can distribute, exchange and consume only what has been produced. Each person can qualitatively produce one (rarely several) items of goods and/or services. The distribution reflects what is the share of a particular individual in the we alth created. It depends on the ownership of the means of production, as well as on the number of created values that will take part in this process. Along with this, he needs a large number of various goods, which makes it necessary to make an exchange. What is this process?
Exchange implies the transformation of some products of activity that a person has into others. Modern economists pay special attention to this stage. Indeed, in a market situation, production will be carried out only when there is an appropriate signal.
And the last stage is consumption. Many make a mistake here and understand it solely as the destruction of goods. This is not true. There are two types of consumption: personal and industrial. In the first case, this is the consumption of food, clothing, and so on. Whereas production consumption implies a waste of raw materials, fuel, machinery. It is often viewed as a continuousrecurring cycle. Due to this, the production stage can be considered as a reproduction process in miniature.
What is it in economics?
Well, the topic of the article has been considered in general terms. Now is the time to carefully study the various specifics.
What is the reproduction process in the economy? This is a set of social needs that are quite objective and follow from the existence of man. Without this, it is impossible to satisfy one's own needs for various goods. In any society, you have to constantly do this. At the same time, in each system, region, country, there is an increasingly strong tendency to depend on the forms and nature of ties in the world economy. It is influenced by the increasing internationalization of the productive forces, the scientific and technological revolution, the changing role of the media, standardization and communication. In addition, it should be mentioned about the state of the planet's resources. It is also necessary to take into account the specifics of individual processes, phenomena and objects. For example, technology for solving planned tasks and achieving calculations. For this purpose, a system of differentiated indicators is used, which can serve to assess the entire economic life, individual areas, industries, associations and enterprises. In this case, the reproductive economic process can be assessed by highlighting sections and groups of indicators, as well as by conducting departmental, functional, territorial, sectoral and program sections. Differentiation is a necessary prerequisite for targeting and directiveness. This allows for more efficient farm management.
What affects it?
The reproductive process is influenced by informational and financial factors. Moreover, the higher the level of its circulation, the more complex structure can be observed.
Here's a little comparison: the reproduction process is divided into four stages: production, distribution, exchange, consumption. Whereas in the life cycle of products, the stage of development, development of production, rise, stabilization and decline are distinguished. Particular attention is paid to the role of finance in the reproduction process. Why? What for? And what is their role?
Financial security is the coverage of reproduction costs at the expense of monetary resources that are accumulated by business entities. Their formation takes place in all subdivisions of social production, after which they are distributed and targetedly used through special-purpose funds. Thus, the financial support of the reproduction process is an integral factor in successful production. Resources are formed thanks to specific sources. Potentially, they are created at the stage of production, when a new value arises and the old one is carried over. But in reality, they are formed only during distribution, when their value has already been realized. The reproduction process of finance is simply impossible without work on the external (in relation to the enterprise) market. After all, trade only insidecommercial structure is a very complex matter.
About production
What is most important in the process in question? That's right, production. And what does it represent? In essence, this is the connection of the means of production with the labor force. Without these two components, successful activity is not possible. Under the means of production is meant the existence of certain fixed and circulating assets. The former gradually transfer their value to the goods produced. The speed of this process depends on the service life. Revolving funds are various objects of labor, such as raw materials, components, materials. Their peculiarity is that they pass into the finished product not in parts, but completely. In practice, depreciation in the reproduction process is extremely important. After all, without it, the transfer of the value of funds to the goods produced is impossible. As a rule, in order to conduct a reproduction process, it is necessary to resort to the services of a supplier, for example, to purchase material resources. This is often accompanied by deferred payments, which are granted depending on existing financial possibilities. At the same time, it is necessary to take into account the specifics and make a choice in favor of a strategy for updating production assets. The state can influence this process through tax policy, benefits, financing of individual enterprises and sectors of the economy.
About the labor force
Reproductive process,in essence, it can be carried out independently, without the presence of state regulation. It is difficult to stop production, if only because there is a labor force, the reproduction of which is not possible without the reproduction of the created value. To put it simply, every person needs to eat, dress, study, and support his family. And for that you need to get paid. Ideally, the state should intervene in the reproduction process only in order to withdraw part of the newly created value. In this case, there are public finances. It should be noted that the stimulating function of prices, taxes and credits is not a category of money economy. If the state intervenes in finance, then only in pursuit of goals of a fiscal nature. Separately, it should be noted the role in the reproductive process that young people have. Its place is associated with the social functions performed - translational, innovative and reproductive.
About the movement of capital
For many people, the reproductive process is limited to the sphere of material production. This point of view is wrong. It should be understood that capital cannot operate within such narrow limits, given the opportunities that the modern world offers it. Moreover, he does not even recognize the presence of national borders and can move freely around the world, which is due to the specifics of the banking and exchange sectors. This fact is confirmed by the emergence and active development of transnational companies. True, what and where is a desirable object for him,influenced by fiscal and budgetary policies. An integral approach to the study, planning and adjustment of the reproduction process involves research and strengthening the relationship between input and output factors and indicators that affect the life cycle of goods. Those who have capital make decisions about its movement based on available data. The more confidence in them, and the higher their attractiveness, the greater the interest of capital. That is, a significant impact on the movement is carried out by the information that is available, as well as its reliability. It is important not only for capital, but in general for the entire reproduction process. At the same time, information is constantly produced and consumed, reflecting on the final result.
On development and progress
The reproduction process is characterized by specialization, cooperation, concentration and combination. What are they? Specialization implies a division of labor in society: a surgeon performs operations on a person, a pharmacist develops medicines, a peasant plants vegetables and takes care of animals. Then comes cooperation, where people trade with others to get what they need. For example, a peasant overstrained himself - he went to a surgeon who would operate on him. Then it is treated with drugs created by a pharmacist. In return, he gives them food. In general, the formation of a single reproduction process on a global scale is being carried out. And it is based on a market type of communication between consumersand manufacturers. Due to the fact that everyone concentrates on a certain business, he achieves significant success and heights in it. Gradually, the level of efficient operation increases, the quality of products improves, and the capture of new regional or international markets begins.
What does it look like in terms of commercial structure?
Let's take a closer look at what the reproduction process of an enterprise is. It includes working capital. They are divided into two types of funds: production and circulation. The former are used in the process of we alth creation. Funds of circulation are necessary for the sale of finished products, as well as the acquisition of inventory items. At the same time, it is necessary to look for the optimal ratio between these types.
During the achievement of the best combination between them there should not be a significant balance load, while the enterprise is simply obliged to develop a clear and rhythmic circulation process. If you place additional capital, then all this will lead to the activation of the process.
Let's look at an example: The Government of the Russian Federation allocated 50 billion rubles to support AvtoVAZ. Part of this money went directly to workers in the form of wages, others to suppliers and contractors who provided everything necessary. Since people do not tend to save money, there can be no doubt that the bulk of it was used for consumption. And as a natural result - the activation of economic relations. And since the production facilities and contractors are not located somewhere in an abstract place, then there is a situation where the regional reproduction process is improving. Employees will be able to enter the bakery more actively, and its owner will be able to buy a car. Here is such a small but good example.
Conclusion
As part of the reproduction process, numerous relationships between various subjects of relationships are constantly being formed and disintegrated. At the same time, on the part of the state, it is necessary to create a solid material basis for the smooth functioning of the entire system, and in particular for the uninterrupted circulation of the money supply. After all, if there are no established rules, this does not mean that life will stop. What and how to do - people will come up with, and a way out of the situation will be found. True, it is not a fact that the state will like it.
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