Theory of economic competition. An attempt to evaluate the state of research and conceptions

A theory of economic competition occupies a very important place in political economy, though its role is often underestimated and seldom correctly understood. Hence, the main purpose of the article is to undertake an attempt to evaluate the state of research and theory in that respect and to explain the essence of that theory, with critical reference to the existing research results. The article includes considerations on historical conceptions of competition (comprising A. Smith's dynamic conception of free competition, the model of ideal competition and the conception of monopolistic competition), the analysis of a modern conception of so-called "effective competition", the considerations on the functioning of an enterprise within oligopolistic structures and theoretical foundations of state policy of competition carried out presently in capitalistic countries. The following types of competitive behaviour have been distinguished: creative, adaptative and stabilizing. Besides, attention is paid also to strategies of curbing competition and to functions ascribed to competition. The most important part of the article is an attempt to explain theoretically the process of economic competition. The said process includes such basic elements as: the conditions of functioning of competition, the mechanism of competition and various consequences of that process for the economy. Only a general analysis of competition makes it possible to understand the essence of that process, to evaluate the existing theoretical conceptions and to carry out appropriate policies in favour of retaining competition. Competition is also of great importance in conditions of implementing the economic reform. Allowing more room for competition will influence the efficiency of economic activity in conditions of a socialist economy.Digitalizacja i deponowanie archiwalnych zeszytów RPEiS sfinansowane przez MNiSW w ramach realizacji umowy nr 541/P-DUN/201