The economic institutions They are defined as all those entities or bodies that establish certain regulations and laws so that an opinion can be followed when having to face a set of issues in the tax, fiscal, commercial or financial markets areas.
That is, this term is used to refer to the entities that dictate a series of norms and rules of behavior in recurring and specific situations. They are also called economic organisms.
The economic development of a nation is determined by economic institutions. For this reason, it turns out to be increasingly common to talk about the importance of the analysis and study of economic institutions.
On the other hand, according to the International Labor Office they are any place that contains economic activities and has private and independent records.
In this case, they can be referred to as productive organizations that aim to create a market value through certain factors of production, and then sell them in the market and thus obtain financial gains.
Article index
The main characteristic is to organize economic activities, in addition to helping with some financial support in accordance with the laws. That is, they work because economic policies are sustainable.
These institutions have a legal and independent entity, since they have powers, rights, responsibilities and duties..
The rules they establish serve to prevent or regulate decisions being made that will limit, either voluntarily or involuntarily, the ability to choose. They are normally constituted by means of a set of formal and informal rules.
The formal rules correspond to the regulations of the law and of a legal nature. On the other hand, informal rules refer to the behaviors and habits that groups of people adopt, which would be the rules that are not in writing.
Its origin is given by the need to be able to satisfy the development requirements of the human being, in addition to regulating the economic activities that have emerged over the years, such as commerce, agriculture or industry..
To regularize each of these activities, eventually groups were created that were finally called economic institutions..
Therefore, it can be shown that the institutions that have these features are the result of an evolution and the direct work of the different legal and physical agents existing in the economy..
Continuity is achieved through adequate funding, as well as adaptation to political and social conditions. All of this contributes to your ability to adapt to volatile and changing circumstances..
Each economic institution seeks to establish specific objectives and, therefore, wishes to achieve them.
These resources are obtained through financial income and loans, or by combining some of these elements, according to the circumstances of the institution..
All economic institutions are interested in achieving objectives that correspond to the nature of their activity.
The search for profit, responding to the wishes of customers, in addition to the attention to rationalize production.
Economic institutions also provide financial assistance to other institutions. They provide funds to the government in the form of taxes and to the family in the form of wages.
Ensure the achievement of an acceptable level of wages and salaries, helping to improve the standard of living of employees and workers, in addition to ensuring the cohesion and organization of employees, providing them with adequate insurance.
In the modern world, the basic needs of the human being have increased enormously. Industrial and agricultural products are needed to survive in the modern world. Economic institutions are obliged to meet those needs.
Economic institutions create employment opportunities for people, through which they can generate income and earn a living. This is how people in society meet their basic needs. Many companies develop under economic institutions.
Provide all cultural and recreational facilities for employees, in addition to providing training for beginners.
Interest in development and research, the use of the media to reduce costs and save time, and access to reliable and accurate information.
The survival of economic institutions depends on cooperation with other institutions. The labor force that works in the different industries comes from the institution of the family and without work it is impossible to produce. The technical and managerial staff comes from educational institutions.
The government formulates rules and regulations for companies and companies have to follow those rules. Therefore, cooperation with other institutions is mandatory for economic institutions..
Economic institutions include agricultural and industrial production, as well as the distribution, exchange, and consumption of products and services necessary for human survival. Secondary institutions are the banking and credit system, advertising, cooperatives, etc..
The WTO was formed in 1995 to replace the General Agreement on Tariffs and Trade (GATT), which began in 1948. The GATT was replaced by the WTO because the GATT was biased in favor of developed countries..
The WTO was formed as a global international organization that deals with the rules of international trade between countries..
The main objective of the WTO is to help global organizations to conduct their business. The WTO is headquartered in Geneva, Switzerland, and consists of 153 member countries, representing more than 97% of world trade.
The IMF, established in 1945, consists of 187 member countries. It works to ensure financial stability, develop global monetary cooperation, facilitate international trade, and reduce poverty, while maintaining sustainable economic growth throughout the world..
The main headquarters of this economic institution is located in Washington, D.C., United States.
It is the main organ of the United Nations General Assembly. Provides an adequate forum for developing countries to meet to discuss issues concerning their economic progress.
It has 194 member countries and is located in Switzerland. This conference is held every four years. Its main objective is to enunciate the policies related to the different areas of development, such as finance, trade, technology and transport..
It is an entity dependent on the United Nations Organization and works to provide economic and financial support to countries that are in scenarios of economic crisis..
It arose in order to help the recovery of countries after World War II.
It is an organization created in France. It is in charge of providing protection to the companies of the different countries that comprise it..
This institution seeks to make the market economy work efficiently, providing the support that companies need.
It is made up of countries of the European Union. It was born with the implementation of the euro as the single currency.
This union aims to have common economic policies in order to meet the objectives and purposes of the region.
The Economic Commission for Latin America (ECLAC) is a regional commission of the United Nations.
It was created in order to contribute to the economy of the nations that make it up, contributing to their growth, development and, above all, with the strengthening of economic relations between member countries, as well as with other countries in the world..
It is the Common Market of the South and is made up of several South American countries. It focuses on seeking and generating trade opportunities between the economies of the member countries and the other countries.
It is an institution that is part of the economy and the State of each country. He is in charge of studying the finances of the public sector.
This institution helps to make decisions or give answers about income and expenses. The State can intervene in the market economy and normally does so through the Public Treasury.
They are in charge of carrying out financial operations, which consist of taking advantage of the markets in different ways. Marketing with money is its best known end.
They are institutions that focus mainly on the functioning of economic systems.
The purpose of the companies is to freely participate in the production of goods and services, to satisfy the demands and needs.
Yet No Comments