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Economic activity of a person

The economic activity of a person isits essence expedient activities, i.e. the efforts made by people are based on a well-known calculation, and their direction has the character of satisfying human needs.

The economic activity of a person affects hislivelihoods, because in the process of managing people, on the one hand, spend energy, resources, etc., and on the other, they make up for their living expenses. In this state of affairs, an economic entity (a person in economic activity) has to strive to rationalize their own actions. It is possible to act rationally only if the costs and benefits are correctly compared, which, however, does not guarantee the absence of errors in making decisions that human economic activity requires.

Хозяйственная деятельность человека в биосфере It is a very complex and intricate complex, consisting of phenomena and processes of various kinds. Theoretical economics in this aspect there are four stages, represented by production, distribution, exchange and consumption.

Production and economic activity are processes that result in the creation of material and spiritual benefits that are necessary for humanity to exist and develop.

Distribution is a process during which the shares (quantity, proportions) are determined, according to which each business entity participates in the creation of the produced product.

Exchange is the process of moving material goods from one business entity to another. In addition, exchange is a form of social connection between producers and consumers.

Consumption is essentially a process.use of production results in order to meet any needs. Each of the stages of economic activity is interrelated with the others, and they all interact with each other.

Characteristics of the relationship of economic stagesactivity requires an understanding of the fact that any production is a social and continuous process. Constantly repeating, production develops - from the simplest forms to modern production. Although these types of production seem to be completely dissimilar, the general points that are inherent in production as such, can still be distinguished.

Production is the foundation of life and the sourceprogressive development of a society in which there are people, the starting point of economic activity. Consumption is the end point, and distribution and exchange are related stages, which link production and consumption. Given that production is the primary stage, it serves only for consumption. Consumption forms the final goal, as well as the motives of production, since in consumption the products are destroyed, it has the right to dictate a new order to production. In that case, if the need is satisfied, it creates a new need. It is the development of needs that serves as the driving force, due to the impact of which production is developing. In this case, the emergence of needs is determined by the production - when new products appear, the corresponding demand for these products and their consumption occurs.

As production depends on consumption, sodistribution and exchange depend on production, since in order to distribute or exchange something, it is necessary that it be produced. At the same time, distribution and exchange are not passive in relation to production, and are able to have a reverse effect on it.