Modern Economics (Sep 2018)
ARCHITECTONICS EFFECTS OF GLOBALIZATION IN THE FINANCIAL SECTOR
Abstract
Introduction. In the economic space, two groups of countries of the globalization process are singled out: leaders (developed countries with a market economy in which the overwhelming share of technological and intellectual potential is concentrated) and the countries of the periphery of globalization. Purpose. The purpose of this work is to analyze the architectonics of the consequences of globalization processes in the financial sector, to highlight the specific features of the effects of globalization for different groups of countries. Results. The key positive and negative consequences of the globalization processes of the economy in the context of strengthening the financial security of the state are summarized. They, on the one hand, form an additional external impetus to strengthen the level of financial security of the states, which is substantiated: improving quality, cheapening and increasing the number of goods, works, services; the growth of economic growth and the efficiency of the operation of national financial systems; an increase in the general level of social welfare, and on the other hand create additional external risks. It is proved that for the states of the periphery of the globalization processes, the formation of additional external risks to their level of financial security is more threatening in comparison with the leading countries (the lag behind the leaders, the loss of financial independence, the absorption of TNC markets, the inefficient structure of the economy). It is substantiated that insufficient resources are allocated to correct the shortcomings of globalization, as a result of which the gap between the poor and the rich continues to expand. This requires radical changes in tax policy, wage and education policy, corporate governance, data transparency. Conclusions. The author’s definition of the category “financial globalization” is proposed, which also takes into account the architectonics of the integration processes in the financial sphere, namely: financial globalization is a component of globalization processes, which consists in the integration of national financial systems in world institutions and financial markets through free movement capital that occurs at three levels of manifestation: national (in the form of mergers and acquisitions); regional (in the form of integration processes of the national financial systems in the region); world (in the form of forming a united world financial space).
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