Dunaev B.B.
Banking regulation of macroeconomic processes

It has been determined that given the same factors of production, bank regulation of macroeconomic processes can lead to sustainable economic growth with inflationary self-regulation of market equilibrium and a catastrophic economy decline with deflationary self-regulation of market equilibrium. It is impossible to regulate the amount of money in circulation by simultaneously changing the interest rate and the exchange rate, because they are functionally dependent. There is a marginal interest rate, after which it is impossible to carry out foreign exchange transactions due to a reduction of cash in circulation through negative foreign currency. The exit of the economy from recession or depression through inflation can significantly increase the production factors. © 2021, Springer Science+Business Media, LLC, part of Springer Nature.

Keywords: capital, crisis, currency, deflation, demand, depression, equilibrium, exchange rate, inflation, interest rate, labor, macroeconomics, market, money, regulation, supply, Deregulation, Economic analysis, Banking regulations, Factors of production, Foreign currency, Foreign exchange, Market equilibria, Production factors, Self regulation, Sustainable economic growth, Commerce

Cite:
Dunaev B.B. (2021). Banking regulation of macroeconomic processes. Cybernetics and Systems Analysis, 57 (1), 123–141. doi: https://doi.org/10.1007/s10559-021-00334-0 http://jnas.nbuv.gov.ua/article/UJRN-0001199862 [In Russian].