Institutional units within the monetary sector, which is also called the banking or financial system, are divided into two main groups: monetary authorities – a central (state, national) bank that issues the national currency, stores state gold and foreign exchange reserves and manages the entire monetary sector of the economy; commercial banks that attract depositors’ […]
Tag: Economy
Indicators of income use and accumulation
After the redistribution of income, the process of their use is carried out, which is characterized by indicators of expenditure on final consumption, actual final consumption of goods and services, gross and net savings, gross accumulation and consumption of fixed capital, changes in stocks of values, land and other capital transfers, changes in net worth […]
COUNTRIES WITH ECONOMIES IN TRANSITION AND CENTRALLY PLANNED
This group can include the republics of the former Soviet Union, as well as a number of countries of Central and Eastern Europe: Romania, Bulgaria, the Federal Republic of Yugoslavia, Macedonia, Croatia, Bosnia and Herzegovina, Albania, as well as in Asia – Mongolia. Four states in the world remain still socialist, they are also included […]
Fiscal and Monetary Policy in the Classical and Keynesian Models
The classical and Keynesian approaches to macroeconomic policy are different. Disagreements relate to the causes of instability in aggregate demand; factors that determine aggregate supply; the relationship between inflation and unemployment; fiscal and monetary policy instruments. The general methodological approach of Keynesians is the concept of an active macroeconomic policy of the state, which is […]