he Control in Economics and Accounting is a mechanism preventive and corrective adopted by management of an entity or unit allows timely detection and correction of deviations, inefficiencies and inconsistencies in the course of the formulation, implementation, execution and evaluation of the actions, with the purpose of seeking compliance with the regulations that govern them, and the strategies, policies, objectives, goals and allocation of resources.
Summary
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- 1 Varieties of Controls in Economics
- 1 Accounting Control
- 2 Exchange Control
- 3 Management Control
- 4 Control of the Plan
- 5 Price Control
- 6 External Control
- 7 Bureaucratic Control
- 8 Strategic Control
- 9 Internal Control (1)
- 10 Internal Control (2)
- 11 Quality Control
- 2 Sources
Varieties of Controls in Economics
In Economics, there are several classifications of Controls depending on the area or objectives with which they are carried out and the way or level in which they are developed:
Accounting Control
Administrative procedure that is used to preserve the accuracy and veracity of transactions and their accounting; it is carried out based on the budgeted operating figures and compared to those reported in the Accounting .
Technique used so that when carrying out the tasks of processing and verifying the transactions, the assets are safeguarded and it is verified that the financial and budgetary records are supported with the respective supporting documentation.
Change control
State intervention in the circulation process of the currency of other countries. It is a mechanism by which the monetary authorities can directly influence the Balance of Payments . Its main objectives are to hinder the outflow of Capital and to rationalize the currencies that are captured by exports and inflows of capital. Its most radical form is comprehensive control, in which it must be handed over to the government (through the Banking System), all the currencies they receive, while importers will be assigned currencies according to the priorities established by the government. A more attenuated form is dual control: a market controlled by major operations and a free market for others. .
Management control
Administration system that allows comprehensive monitoring of the actions that are planned and executed; determines the periodic progress of the same, in order to exercise feedback and corrective actions in cases of non-compliance or deviation.
Control of the Plan
Set of activities aimed at monitoring the execution of actions, which correspond to the provisions of the plan and programs, and its regulatory framework. It is a preventive and corrective mechanism, the purpose of which is to ensure compliance with the strategies, policies, objectives, goals of the plan, and programs by allocating resources in the Federation’s budget for expenditures.
Controlled of marketing
Official intervention in the market to fix certain values to the merchandise, according to the opinion that the official powers have on them.
Price controls are generally established to avoid inflation or the shortage of life, in an attempt to reduce the consumption of the popular sectors. Such measures implicitly assume that high prices are due to speculation, and that they can be controlled and stabilized beyond the regulatory power of the market.
They are frequent in the event of war, when the productive effort turns to the production of weapons and labor is scarce, but they have also been widely deployed in Latin America as part of an interventionist economic policy and as a means of obtaining short-term political returns. term.
In practice, price controls distort the allocation of resources, can generate repressed inflation and, on many occasions, give rise to rationing and the Black Market for goods and services, as occurred in the nations that followed the planning model central.
External Control
It mainly comprises financial, efficiency and legal controls. External control of Public Companies is exercised by the central sector of Public Administration by the secretariat responsible for the sector. The external control of the dependencies is carried out by the Accounting Office of the Treasury, dependent on the Legislative Power.
Bureaucratic Control
A control method that employs strict regulations to ensure the conduct desired by the elements of the organization, often used by other types of multinational organizations to control their subsidiaries.
Strategic Control
Process of monitoring the progress of the implementation of the strategies against the strategic plan, at critical intervals to determine if the Organization is progressing towards its strategic objectives.
Internal Control (1)
It comprises the organization plan and all the coordinated methods and measures adopted within a company to safeguard its means, verify the accuracy and veracity of its accounting data, promote operating efficiency and promote adherence to prescribed administrative policies.
Internal Control (2)
Set of coordinated methods and procedures adopted by agencies and entities to safeguard their resources, verify the veracity of financial information and promote operating efficiency and compliance with established policies.
Quality Control
Set of activities aimed at obtaining an adequate correspondence between the quality of products and the needs of the national economy and the population, all of which contribute to raising the efficiency of social production.
