On The Theory Of Competitive Order

The theory of the competitive order of The Freiburg School has been examined in the proposed work. An attempt has been made to shed light on the elements that make up the structure of the competitive order, the principles on which it is formed and those governing its functioning. The interest in the issue was prompted by the fact, that the developed by The Freiburg School’s model is a balanced and comprehensive model for doing business that allows for the economic potential to be effectively used. It laid the foundations of the economic concept, which could serve as a starting point for the formation of long-term economic strategy. The model was applied and tested in practice in the German transition from a centrally controlled economy to a market one in the 50-s of the previous century. The economic successes of Germany in the following years were largely due to and have been obtained on the basis of this model. These successes give relevance to the theory of the competitive order today, and in a large-scale socio-economic changes that took place in the former socialist countries. The theory of competitive order can serve as a reference and correction of the changes in these countries.