კონფერენცია

∘ Maia Kapanadze ∘ Giorgi Chincharauli ∘
THE EFFECTIVENESS OF PRODUCTION COSTS

Summary

The paper deals with private and public expenses of production. Indicates the effectiveness of these costs. The difficulties are analyzed in determining efficiency of the production and supply of public products.

It has been proved that the costs and efficiency of production in Georgia have not been properly studied yet. The state economic policy has not been developed in this direction yet, which would facilitate the efficiency of production costs and improvement of public well-being.

It is well known that an oligopoly has a dominant strategy - it is concerned with its own interests only and that affects other areas. In order to avoid undesirable results of an oligopoly activity state regulation is needed. In this case, competition in the oligopoly should be protected. The relevant legislation should be adopted which will legitimize: prohibition of the monopolistic condition of oligopolic, the restriction of competition limitation, etc.

Keywords: production costs, production efficiency, organization of organism, oligopoly, oligopoly monopoly, private product, cook, product, paradox.

Ivane Javakhishvili Tbilisi State University Paata Gugushvili Institute of Economics International Scientific C O N F E R E N C E S "ECONOMY – XXI CENTURY"

E ISSN 2587 - 4691	∘ Maia Kapanadze ∘ Giorgi Chincharauli ∘ THE EFFECTIVENESS OF PRODUCTION COSTS Summary The paper deals with private and public expenses of production. Indicates the effectiveness of these costs. The difficulties are analyzed in determining efficiency of the production and supply of public products. It has been proved that the costs and efficiency of production in Georgia have not been properly studied yet. The state economic policy has not been developed in this direction yet, which would facilitate the efficiency of production costs and improvement of public well-being. It is well known that an oligopoly has a dominant strategy - it is concerned with its own interests only and that affects other areas. In order to avoid undesirable results of an oligopoly activity state regulation is needed. In this case, competition in the oligopoly should be protected. The relevant legislation should be adopted which will legitimize: prohibition of the monopolistic condition of oligopolic, the restriction of competition limitation, etc. Keywords: production costs, production efficiency, organization of organism, oligopoly, oligopoly monopoly, private product, cook, product, paradox.