Economic Organization

Economic Organization

- Max Weber a German Sociologist attributed the rise of

organizations to the following factors: expansions of markets,the
developments in the law, and thechanges in the nature of
authority.
-It refers to the act of coordinating varoius factors of production -
land,labor, and capital.
 Kinds of Economic Organization

Sole Proprietorship - The oldest form of business

organization, sole proprietorship is something of a “one
man business”.
Partnership- This type of businesses that have expanded
to the point that it may be beyond control of one man
develop partnership to ensure better management.
Joint Stock Company- is an economic organization that
consists of shareholders who subscribe to its capital,
which is divided up into a large number of shares.
Cooperative Organization- it comes in a variety of
forms.There are consumers' cooperative,producers'
cooperatives, etc.
Reciprocity
Reciprocity refers to the mutual exchange of services or goods among social
peers.
In Anthtopology, reciprocity is classified into three types: general, positive,
and negative.
General Reciprocity- It is a type of reciprocity in which one offers something
without the expectation of immediate return.
Positive Reciprocity- This is reciprocal relationship in which there is an
immediate reward for giving.
Negative Reciprocity- is a relationship in which one side loses in the exchange.
 Market Transactions
Exchange of goods and servs through a market is called market
transaction. Market transaction is important especially in measuring the
Gross Domestic Product or GDP.
Open-Market Transaction-it refers to transaction in which an order is
placed by an insider.
Close Market Transaction- when there is an order placed by a
company's insider to buy or sell restricted securities from within the
company's own treasury.
Markets and State- they are capable of encouraging economic
growth and influence how the benefits of the growth are distributed.
These state plays multiple roles in guiding the economy. These can
be divided into essential roles,beneficial roles, and politically
generated roles.
Redistribution- refers to the theory,policy, or practice of lessening or
reducing inequalities in income.
Transfers- payments or simply transfers are one way payment of
money for which no money,good, or services is received in exchange.
Social Institutions
The Non-State Institutions

State Institutions are institutions that are

within the control of the State. Non-State
Institutions refers to institutions that are not
under the control of the government or by the
state.
Banks and Corporations

Banks provide a safe place to save excess

cash,known as deposits.
Corporations refers to legal entities which are
established under state law that are designed to
generate a profit.
Religion

- Is another social institution that is

not under the control of the
Government.
- It is an essential part of a society.
Cooperatives and Trade Unions

- This are non-state institutions that play a major

role in the economic development of the society.
Trade Unions and Cooperatives are established
to ensure the welfare of the workers as well as the
consumers.
QUIZ
1. A German Sociologist
2. It refers to the act of coordinating varoius factors of
production - land,labor, and capital.
3. Oldest form of business organization
4. A type of businesses that have expanded to the point that it
may be beyond control of one man develop partnership to ensure
better management.
5. An economic organization that consists of shareholders
6. It comes in a variety of forms such as consumers'
cooperative,producers' cooperatives, etc.
7. It refers to the mutual exchange of services or goods among social peers.
8-10. Three Types of Reciprocity
11. It is a type of reciprocity in which one offers something without the
expectation of immediate return.
12. This is reciprocal relationship in which there is an immediate reward for
giving.
13. Is a relationship in which one side loses in the exchange.
14. Exchange of goods and servs through a market.
15. It is when there is an order placed by a company's insider to buy or
sell restricted securities from within the company's own treasury.
16. It refers to transaction in which an order is placed by an insider.
17. They are capable of encouraging economic growth and influence
how the benefits of the growth are distributed.
18. It refers to the theory,policy, or practice of lessening or reducing
inequalities in income.
19. It is a form of payment of money for which no money,good, or
services is received in exchange.
20. They are established to ensure the welfare of the workers as
well as the consumers.
21. Another social institution that is not under the control of the
Government.
22. It is an essential part of a society.
23. It provide a safe place to save excess cash,known as
deposits.
24. It refers to legal entities which are established under state law
that are designed to generate a profit.
25 This are institutions that are within the control of the State.
26. It refers to institutions that are not under the control of the government or by the
state.
27-30. Kinds of Economic Organization.