DEFINITION AND ROLE OF ECONOMIC ACTORS

DEFINITION AND ROLE OF ECONOMIC ACTORS


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A. UNDERSTANDING ECONOMIC ACTORS
Economic offender is an individual, group, or institution involved in economic activities both consumption, distribution, and production. In General, Economic Actors divided into five major groups, namely the Household Family, Community, Corporate, Government, and the State. Each economic agent has its own role in consumption activity, distribution, and production.
 
DEFINITION AND ROLE OF ECONOMIC ACTORS
THE ECONOMIC ACTORS

B. ROLE AND FUNCTION OF THE ECONOMIC ACTORS
I. HOUSEHOLD FAMILY
Household family is an economic actor who has the smallest scope. Economic actors member is usually composed of a father, mother, and child. There is also an individual who is not a direct member of the family but still considered members of the family household and engage in economic activities of the family, for example, grandmother, grandfather, brother, or helper. Family Households role in economic activity:

1. Household Family as a producer
The family household as a producer in the economic activities of households that can produce the goods / services to meet the needs of consumers. In produce production, household family as a manufacturer, they have land, labor, capital, expertise to be utilized. The results obtained family household as a producer is money. The income can be obtained from:

  1.     Own business
  2.     Work on the other side
  3.     Renting out the factors of production

  
2. Household Family For Distribution
Household family can act as a distributor by opening a shop or stall, become traders, etc. The purpose of the distribution activity is also to generate revenue.

3. Household Family as Consumer
War of the family household as a consumer is a sure thing. Every economic actor is definitely conducting the consumption of the income earned, therefore, the main economic activities in the family household consumption. Some of the factors that affect the extent of the family household consumption is:


  1.     Number of Family Income
  2.     Number of Family Members
  3.     Socioeconomic status Family
  4.     The price of the goods or services required


II. COMMUNITY
1. The community as Manufacturer
Society as a manufacturer is a member of a group that generates revenue by selling the production of goods / services, such as trade, make handicrafts, livestock, etc. In business activities to earn such income, the business has the following characteristics:


  1.     Generally do not use sophisticated tools
  2.     Do not need an education / special expertise
  3.     Can create jobs that could accommodate many members
  4.     Economic efforts underway in small scope


2. Community As Distributor
Society's role as a distributor achieved if the public becomes distributor of production materials from producers to consumers.

3. Society as a consumer
Community groups in definite need of goods and services for business continuity and life. So that they become consumers of other manufacturers. User community is a common products, such as roads, schools, etc. If these people have no income, or simply act as consumers only, then they called unemployment. Most of the unemployed have very low economic status. Therefore, it is very important for us to be productive, not only can consume.


III. COMPANIES
The Company is a business entity running its activities to produce goods / services with the primary purpose of gaining profit. Companies often associated with the household. But there is a huge difference between corporations and households, namely in terms of its objectives. Main purpose of Tanga family house is to make ends meet, while the main goal of the company is to make a profit. The company's role in economic activities are:

1. Company as a Manufacturer
As explained above, the main role of the company is for the production so that it can generate profits. In accordance with the role and objective, then surely a company would act as producers. Some things need to be done before the company is carrying out its activities:

  1.     Determine Goods / services that will be produced
  2.     Determine the process of managing the production of goods / services
  3.     Ensure goods and services produced by the target consumer needs

2. Company as Distributor
If the products do not sell then a company will incur a loss, therefore they have to act as a distributor to get the product to the consumer. Generally the distribution activities undertaken are:

  1.     Opening a branch company
  2.     Creating promotional activity
  3.     Held activities trading
  4.     Has a fleet of force


3. Companies For Consumers
Consumption activities of the company is closely related to production activities, among others are:

  1.     Procurement staple
  2.     Procurement of Equipment and Materials
  3.     Funding wages of employees


IV. GOVERNMENT (STATE)
Government is the institution in charge of governance to monitor the economic activity running. The role of government in economic activity, among others:

1. The Government as a producer
The government must play a role as a manufacturer to realize the overall prosperity of the people of Indonesia. This is in accordance with the 1945 Constitution article 33, paragraph 2, which reads: Branches that are important to the state and which are controlled by the state.
DEFINITION AND ROLE OF ECONOMIC ACTORS
THE GOVERMENT AS ECONOMIC ACTORS


While implementation as manufacturers realized almost in all areas of the economy. As executor of government production activities memembuat Have Enterprises (SOEs), SOE functions include:

  1.     To contribute to the national economy in general and the state in particular
  2.     For profit and to organize public in the form of provision of goods or services of high quality and adequate for many people
  3.     Being Pioneer business activities that have not been able embodied by the private or cooperative
  4.     Help provide assistance and guidance to employers lower economic classes in society


2. Government as Distributor
The government's role also serves as a distributor for the maximum welfare of the people. In general, the government's role as a distributor is something of an excessive distribution to the shortfall in order to realize prosperity evenly.

3. The Government For Consumers
In fulfillment of the need to carry out their duties, the government would require funds to be used mainly. Well fulfillment is exactly what the government said as a consumer. An example is to buy equipment. Government consumption activities aimed to improve the welfare of the people, and build state infrastructure.

  1.     Government as regulator Economy
  2.     Protect the public from the negative impact of economic growth is unbalanced and uncontrollable
  3.     Building social capital in the broadest
  4.     Creating and maintaining harmony of economic growth


 Now that the discussion on this article with the title Understanding, Role and Function of Economic Actors. Hopefully, the article can be useful. If there are things that have not understood please ask your friends via the comment box, we will try to respond quickly and appropriately, thank you for visiting, and do not forget to comment here
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Science Lovers: DEFINITION AND ROLE OF ECONOMIC ACTORS
DEFINITION AND ROLE OF ECONOMIC ACTORS
DEFINITION AND ROLE OF ECONOMIC ACTORS
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