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Appears at J. A. Salter in "Allied Shipping Control" (Oxford: Clarendon Press, 1921, p. 16 - 17).]
The economist believes that the economic system is co-ordinated by the mechanism of the prices,
The society is thus thought not as the organisation, and as an organism May 1933, Hayek F. A.,
The Trend of Economic Thinking//Economica. The economy works
"In itself". It does not mean that separate people do not make plans. They
Carry out a prediction and a choice from alternative possibilities. So should
To be, that the system was ordered. But this theory assumes that
The direction of resources depends directly on the mechanism of the prices. Quite often
Economic planning reproach that it tries to do that already
It is made by the mechanism of the prices Ibid..
The description offered by sir Arthur Salterom, however, offers very much
Incomplete picture of our economy. For an intrafirm situation it is the description
Simply it is not necessary. For example, the economic theory asserts that placing
Manufacture factors between various ways of use it is defined
The mechanism of the prices. The price of the factor And becomes above in X, than in Y. As a result And
Moves from Y in it until the difference of the prices in it and Y will disappear
(As it does not compensate other comparative advantages). But in the real
The worker passes from department Y in department X, it does it not because of change
The relative prices that is why that so have ordered to it.
That who objects to economic planning recognising that
The problem is already solved by movement of the prices, it is possible it that in our economy
There is a planning which differs from the aforementioned individual
Planning also it is similar to that usually name economic planning.
The above-stated example is typical for the big sector of our modern
Economic system. Economists, of course, have not passed by this fact.
Marshall enters the organisation as the fourth factor of manufacture; J. B.Clark
Allocates the businessman with coordination function; Knight enters the manager,
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