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What is economic relations?

Economic relations are certain links in which people are forced to enter the process of social reproduction, regardless of consciousness and will. This process can be conditionally divided into four components - production, distribution, exchange and consumption. Any system of economic relations can not be considered in isolation from reproduction, which is characteristic for each state in the narrowed, extended or simple version. In the first case, the volumes of manufactured products are steadily declining, in the second case they are increasing every year, in the third - they remain unchanged.

In the process of activity, citizens of the country and legal entities are forced to enter into production, property and socio-economic relations. Each of these categories has its own characteristics, however, in these systems, the society as a whole is involved, and not individual individuals and enterprises.

Production : Economic relations can not be imagined without production, since it is this component that leads to the formation of surplus value. Workers at the enterprise during the economic activities are forced to interact with each other, because their work is collective. Therefore, production is considered the basis of the economy and the existence of society, and this indicator is usually attributed not only the process of output, but also its subsequent distribution and consumption. After the manufacture of the goods, its share is determined, which is due to each of the participants in economic activity.

Moreover, the distribution of resources and the division of labor are carried out according to various types of economic activity. Another stage of the movement of goods is their exchange, and instead of production, people involved in its production receive money that is equivalent to the value of the goods produced. The final stage of the movement of the created product is its consumption, without which it is impossible to imagine the satisfaction of human needs. As a result, goods disappear, and they need to be re-manufactured.

Property relations : In any country, economic relations are based on the forms of ownership characteristic of a particular state. This indicator reflects the level of production forces, as enterprises vary in the number of people working for them. In Western countries, which are characterized by a mixed economy, there is a variety of forms of ownership. And private property can include a large factory, and a farm belonging to a certain citizen, as well as a pharmacy, a shop, a shop or a cafe. Therefore, socio-economic relations develop between individual members of society, collectives, groups and classes. And the decisive role in them is assigned to the owner of the means of production, without which the economic activity of workers is simply impossible.

Organizational matters : Economic relations also cover organizational issues arising from the fact that public production, the subsequent distribution of manufactured products and their exchange without a definite delimitation of the duties of each worker can not be performed. And joint activity of workers is based on cooperation, specialization and division of labor, which is typical for any developed state. Since at large enterprises the production process becomes rather complicated, each of its employees is engaged in performing certain specific actions, and joint work leads to a single goal - the implementation of the reproduction process.

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