State Management Functions on the Economy by Impact Phase

Clearly recognizing the function of state economic management is the objective basis for organizing the state economic management apparatus, from which the apparatus and human resources are arranged. On the other hand, the function of state economic management is the general tasks that the state must perform in a certain period of time, due to the requirements of political, economic and social tasks and the specific situation and conditions of each historical period. Therefore, the perception of the function of state economic management is not fixed but always fluctuates and develops. However, the basic and main functions often change little, but the tasks of state economic management that change frequently are the tasks of state economic management - the work that concretizes the management function in a certain space and time.

The basic functions of state management of our country's economy are classified according to many different criteria:

1.2.2.1. State economic management functions in the direction of impact The 7th National Party Congress pointed out: “On the basis of ensuring the business autonomy of enterprises, the State needs to focus on performing well the following macro-management functions:

- Create environment and conditions for production and business activities

- Lead and support development efforts

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- Planning and implementing social policies

- Manage and control the use of national assets…”

1.2.2.2. State economic management functions according to impact stages

a. Orientation of national economic development:

Economic development orientation is deciding in advance the tasks, goals and strategies for the country's economic development over a period of time, usually 5 years, 10 years or longer.

This is the most basic function of state management functions and other management functions must be based on it to perform.

The orientation function includes the following main contents:

- Identifying tasks is identifying the work that must be done within a certain period of time to create economic development for the country.

- Determine the long-term goals of the country's economic development. This is an important content of the orientation function, because the goal is the beginning of management, it governs all management activities. Determining the right goal is also the basis for establishing management principles and apparatus.

- Determine economic development strategy:

+ General guidelines and policies that the state will implement over a long enough period of time

+ The basic long-term goals of the country

+ Main solutions to attract and allocate resources and potentials domestically and internationally to achieve the set goals.

b. Planning and programming for socio-economic development

The socio-economic development plan is a set of goals at the national or regional level to achieve those goals. The State must develop long-term and medium-term national development plans. Long-term plans last from 10 to 20 years or longer, medium-term plans last for 5 years, with more specific goals and solutions. Medium-term plans are concretized into annual plans, combined with the Government's budget system and taking into account approved external aid, for implementation.

A program is a combination of goals, policies, procedures, rules, tasks, steps to be taken, resources to be used and other necessary elements to implement a major plan, a certain goal of economic development of the country, region and industry.

Program and plan are related and have different points. Program is a part of plan, or a method of operation of plan to put plan tasks into real life. Program ensures synchronous coordination of related measures in implementing the proposed plan objectives. Program focuses limited resources on solving

Effectively implement the key points of state planning in each period to create a new economic structure.

c. Establishing a legal framework on economics

Economic law in a broad sense is the totality of legal norms promulgated or recognized by the state, aiming to regulate social relationships arising in the process of organization, management and production and business activities between enterprises with each other and with other relevant units.

Economic law is the safest corridor for economic activities, and at the same time determines the legal status of organizations and economic units. On that basis, it creates a legal basis for activities and the state carries out its management of those activities.

d. Building and perfecting the system of policies, tools and economic levers

Policy is a set of certain methods, measures, and means used by the state to influence individuals, groups, and society to achieve partial goals in the process of implementing overall socio-economic development goals such as:

- Financial policy;

- Monetary and credit policy;

- Foreign economic policy…

d. Organizing and operating domestic economic systems

With the function of organizing production, the state must form economic units by industry, region, economic sector and type of production and business, as well as scientific and training centers and public service units to serve economic development.

With the executive function, the state coordinates activities between agencies and units in the national economy, ensuring necessary relationships in the process of implementing the country's planning goals.

e. Check and control the economy

This function aims to promptly detect errors and bottlenecks, as well as to detect good opportunities and chances in the process of implementing the country's socio-economic plan, keeping in line with the direction of the state plan.

g. Adjusting economic activities:

Adjusting economic activities is the additional impact of the state on the economy, aiming to correct errors and take advantage of opportunities for economic development.

State economic adjustment is carried out through economic management tools and policies, such as laws, plans, policies, economic levers, etc.

1.2.3. State management tools for business operations:

The essence of macroeconomic management is the process of designing economic goals and, based on that, using existing management tools and appropriate management methods to regulate the operation of the national economy according to the set trajectory and goals. No matter how accurate and feasible the proposed management goals are, if there are no corresponding management tools, they cannot be realized. They are still only theoretical management goals, not management goals in reality.

Management tools in general are all means that the management subject uses to impact the management object to achieve the set management goals. The State's economic management tools are the totality of tangible and intangible means that the State uses to impact all economic subjects in society to achieve the goal of national economic management . Thanks to that, the economic management tools as the transmission medium of the impact of State management, the State can convey its intentions and will to all organizations and individuals living and operating throughout the entire national territory and areas of influence that may be outside.

The main tool of State management is the law. Besides, an equally important tool is the use of policies and economic levers to create conditions for economic development.

1.2.3.1. Law

Our country's economy is a market economy, operating under the control of market economic laws in a competitive environment for the purpose of profit. Our State is a State of law, exercising its management over society in general and the national economy in particular, mainly by law and in accordance with the law.

The main function of law is to regulate, protect and educate to ensure and develop society according to certain goals and directions. Through the implementation of these functions, law plays an important role in the process of transforming a self-sufficient, closed economy into a socialist-oriented, open market economy, which is expressed in the following basic aspects:

a) Create a solid legal foundation to regulate economic relations, maintain long-term stability of the national economy to achieve the goal of sustainable economic growth

Timely and reasonable adjustment of economic relations is a necessary and mandatory condition to maintain the regular and long-term stability of the national economy, in order to achieve the goal of continuous economic growth with high speed and efficiency. To do so, there must be a system of legal documents, documents applying legal norms accurately in state economic management. Thanks to them, a solid legal premise is created to promptly and reasonably adjust economic relations, making all sectors, all fields, all regions, all localities, all economic sectors and all citizens feel secure in mobilizing their resources into production and business with productivity, quality and efficiency.

b) Create an effective legal mechanism to realize equality of rights and obligations among economic entities to improve national economic efficiency.

Equality between economic entities includes two closely related aspects: equality of rights and equality of obligations; these two aspects must constantly correspond to each other, be compatible with each other, cannot be separated from each other and even less be opposed to each other. Competition is an objective economic law, a solution

Strategic measures to improve product quality and reduce production costs to enhance the competitiveness of the national economy for the purpose of high efficiency. To ensure fair competition among economic entities, a very important issue that many governments are interested in solving is to promulgate and enforce anti-monopoly laws. In particular, creating an effective legal mechanism to implement equality of rights and obligations among economic entities, especially among economic sectors, to improve the efficiency of the national economy.

c) Create the necessary legal basis to harmoniously combine economic development with social development and environmental protection.

Sustainable economic growth is a common, global goal that all countries desire and strive to achieve. The effectiveness of economic growth according to modern concepts is assessed through indicators of economic efficiency, social efficiency and environmental efficiency. Sustainable economic growth is essentially continuous, stable GDP growth at a high rate, creating more and more jobs for workers, lowering the unemployment rate, exploiting and using resources reasonably, saving resources, and protecting the purity of the ecological environment.

To improve economic efficiency, social efficiency and environmental efficiency, the State needs to set out and enforce relevant legal regulations to harmoniously combine economic development with social development and environmental protection. For example: Land Law, Enterprise Law, Labor Law, Enterprise Law, Investment Law, Environmental Protection Law.

1.2.3.2. Plan

A plan in the narrow sense is a plan of action in the future; in the broad sense, it is the process of building, implementing, implementing, monitoring and checking the implementation of a plan of action in the future. A plan, as a tool for macroeconomic management of the State, is itself a system that includes many activities.

- Socio-economic development strategy: is the general guideline and the main, overall solution for socio-economic development of the country over a long period of time.

(In our country, it is usually 10 years). For example: the 1991-2000 socio-economic stability and development strategy was proposed by the 7th Party Congress; the 2001-2010 socio-economic development strategy was proposed by the 9th Party Congress.

- Socio-economic development planning: is the concretization of a step of socio-economic development strategy, it is a set of goals and the arrangement and arrangement of corresponding resources to implement the goals in space and time. Our country proposed urban planning in 1997, then many sectors also proposed development planning to quickly integrate into the regional and world economy, for example, the Vietnam Maritime industry plans to propose a plan to develop the fleet of ships and a plan to develop the Vietnam seaport system.

- Medium-term plans (3-year plans, 5-year plans) are the main means to specify the goals and solutions selected in the strategy. Medium-term plans, usually 5-year plans, which allocate targets for each year, are the main form of planning, and are the framework orientation for the country's socio-economic development process.

- Annual plan: is the concretization of the medium-term plan to carry out the economic and social development tasks of the medium-term plan. The annual plan is built based on the goals and strategic orientations, the methods and tasks of the medium-term plan and the results of situation analysis.

- Program: is used very commonly to synchronously determine the goals to be achieved, the steps to be taken, the resources to be mobilized to carry out a certain plan. For example: Socio-economic development program for extremely disadvantaged communes in mountainous ethnic minority areas in the period 2006 - 2010.

- Project: The totality of activities, resources and costs are closely arranged in time and space to achieve specific socio-economic goals, for example: a project to eliminate hunger and reduce poverty for people in particularly difficult communes in remote areas.

- Budget: is a numerical report, mobilizing and allocating resources for implementing programs and projects in a certain period.

1.2.3.3. Policy

Policy is one of the main tools used by the State to manage the national economy. In its most general form, each specific policy is a set of certain solutions to implement partial goals in the process of achieving the general goals of socio-economic development. Any policy usually consists of two parts: the goals to be achieved and the solutions to be applied to implement the goals.

Policy is a complex system of many types, according to the field of operation, policies can be divided into two groups:

- The main economic policies are:

+ Economic restructuring policy;

+ Financial policy;

+ Monetary policy;

+ Pricing policy;

+ Foreign economic policy;

…

- Social policies (or non-economic policies) are mainly:

+ Population policy and family planning;

+ Labor and employment policy;

+ Education policy;