On the Interrelation Between Effective Demand and Production Under Socialis

Abstract

Under conditions of socialism, the production and distribution of goods is realized with the aid of commodity-money relations. The ratios of production of consumer goods and their consumption are revealed as the relation between prices of consumer goods and the demand of the population, This interrelation is one of the most important economic ratios. For this reason the question of understanding and defining it correctly is of great significance for theory and practice.