MONETARY POLICY AGAINST DESTABILIZING FACTORS

Abstract

The research presents the results of the analysis of measures to support the financial and real sectors, which were implemented by major central banks and governments in response to global bifurcation trends caused by the current suspension of the world economy due to the launching of quarantine programs. There are shown the disproportions of the distribution of stabilizing financial resources and it is emphasized that they are a manifestation of significant interdependence of financial institutions and the state in conditions of their current functional and institutional transformations because of financialization tendencies. The functional transformations of financial institutions are interpreted as an efficiency reduction of their distribution function, because of which the financial resources, avoiding the real sector of the economy, are concentrated in financial markets. The institutional transformations of the state were manifested in the fact that, along with its traditional classical functions of regulation, the mode of the state as an economic agent, which protects its own interests and the interests of its counterparties, became relevant. There are made the conclusions on the existence of ingrained financial and institutional imbalances that develop in the closed space of public and financial liquidity circulation in the article. It is shown the contradictions of the policy of quantitative easing in conditions of low and negative interest rates, which consists in the growth of financialization tendencies. It is concluded the need for targeted and controlled infusion of liquidity in conditions of instability. It is substantiated the expanded targeting of the stability of monetary unit as the most adequate monetary policy to the conditions of global instability.

Keywords

• monetary policy
• destabilization
• liquidity surplus
• financial and institutional imbalances
• expanded targeting of the stability of monetary unit