IDEAS home Printed from https://ideas.repec.org/a/cuc/eforum/v11y2021i1p166-175.html

Theoretical fundamentals of the credit system of Ukraine

Author

Listed:
  • Volodymyr Zakharchenko

Abstract

The article shows that in order to create a fundamentally new in structure and content of the credit system of Ukraine it is necessary to use practically oriented provisions of the basic theories of credit - naturalistic and capital-creating. Accordingly, the purpose of the article is to highlight those provisions of credit theories that in the current conditions can form a theoretical basis for the successful implementation of credit reform in Ukraine. It is noted that within the framework of naturalistic theory the following provisions are of practical importance: classical political economy - loan interest in the context of its impact on investment dynamics and inflation; banking school - the feasibility of "throwing" into the stagnant economy of additional investment money; neoclassics - the danger of separation of the financial sector of the economy from the real and the importance of strengthening the deposit base of banks. The provisions of the Marxist theory of credit, which occupies an intermediate position between naturalistic and capitalist theories, are important in the context of creating a full-fledged securities market in Ukraine and the formation of financial-industrial groups. It is emphasized that within the framework of capital-creating theory the following provisions are constructive: "Lo system" - control by the central bank of the issue of credit money; G. McLeod's theory of bank credit - the role of banks in the national economy; Manchester School of Political Economy - the transfer of capital from less profitable industries to more profitable; J. Schumpeter's theories of economic development - the role of credit in financing innovation; M. Tugan-Baranovsky's theories of market conditions - accumulation of financial capital at different stages of the economic cycle; L. Ghana's theory of conjuncture - its maintenance on the basis of credit expansion; A. Pigou's theory of industrial cycles - the distribution of capital between industries on the basis of investment risks; Keynesian theory - credit expansion of the state in times of crisis and the fight against speculation in the financial market; theories of portfolio infestations - their diversification and investment guarantee. The article concludes that although scientists differently determine the degree of influence of the financial market on economic development in Ukraine, it should be transformed in such a way as to subordinate the tasks of development of the real sector of the economy, including neo-industrialization

Suggested Citation

  • Volodymyr Zakharchenko, 2021. "Theoretical fundamentals of the credit system of Ukraine," E-Forum Working Papers, Economic Forum, vol. 11(1), pages 166-175, January.
    • Handle: RePEc:cuc:eforum:v:11:y:2021:i:1:p:166-175
    as

    Download full text from publisher

    File URL: https://e-forum.com.ua/web/uploads/pdf/Economic_Forum_Vol_11_No_1-166-175.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Lucas, Robert Jr., 1988. "On the mechanics of economic development," Journal of Monetary Economics, Elsevier, vol. 22(1), pages 3-42, July.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Daniel Ştefan Armeanu & Georgeta Vintilă & Ştefan Cristian Gherghina, 2017. "Empirical Study towards the Drivers of Sustainable Economic Growth in EU-28 Countries," Sustainability, MDPI, vol. 10(1), pages 1-22, December.
    2. Sergey BLINOV, 2017. "Inflation and economic growth," Journal of Economics Library, KSP Journals, vol. 4(3), pages 345-358, September.
    3. Jung-Suk Yu & M. Kabir Hassan & Abdullah Mamun & Abul Hassan, 2014. "Financial Sectors Reform and Economic Growth in Morocco: An Empirical Analysis," Journal of Emerging Market Finance, Institute for Financial Management and Research, vol. 13(1), pages 69-102, April.
    4. Prof. Dr. Adem KALCA & Resc. Assist. Atakan DURMAZ, 2012. "Diaspora As The Instrument Of Humane Capital," International Journal of Business and Social Research, LAR Center Press, vol. 2(5), pages 94-104, October.
    5. Nicolai J. Foss, 2012. "Linking Ethics and Economic Growth: a Comment on Hunt," Contemporary Economics, Vizja University, vol. 6(3), September.
    6. He, Qichun, 2018. "Inflation and innovation with a cash-in-advance constraint on human capital accumulation," Economics Letters, Elsevier, vol. 171(C), pages 14-18.
    7. Erich Gundlach, 2003. "Growth Effects of EU Membership: The Case of East Germany," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 30(3), pages 237-270, September.
    8. Kawalec Paweł, 2020. "The dynamics of theories of economic growth: An impact of Unified Growth Theory," Economics and Business Review, Sciendo, vol. 6(2), pages 19-44, June.
    9. Kar, Sabyasachi & Pritchett, Lant & Raihan, Selim & Sen, Kunal, 2013. "Looking for a break: Identifying transitions in growth regimes," Journal of Macroeconomics, Elsevier, vol. 38(PB), pages 151-166.
    10. Iamsiraroj, Sasi, 2016. "The foreign direct investment–economic growth nexus," International Review of Economics & Finance, Elsevier, vol. 42(C), pages 116-133.
    11. Md.Yousuf & Raju Ahmed & Nasrin Akther Lubna & Shah Md. Sumon, 2019. "Estimating the Services Sector Impact on Economic Growth of Bangladesh: An Econometric Investigation," Asian Journal of Economic Modelling, Asian Economic and Social Society, vol. 7(2), pages 62-72, June.
    12. George Asumadu & Emmanuel Amo-Bediako, 2021. "Stock Market Performance and Economic Growth Nexus: A Panacea or Pain to Ghana?," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 5(4), pages 423-429, April.
    13. Gao, Ting, 2004. "Regional industrial growth: evidence from Chinese industries," Regional Science and Urban Economics, Elsevier, vol. 34(1), pages 101-124, January.
    14. Jaewon Lim & Daeyoung Kwon & Soo Jung Ha, 2025. "Revisiting the growth poles: regional disparity and population redistribution policy," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 74(1), pages 1-27, March.
    15. Schreiner, Lena & Madlener, Reinhard, 2022. "Investing in power grid infrastructure as a flexibility option: A DSGE assessment for Germany," Energy Economics, Elsevier, vol. 107(C).
    16. Michael Adusei, 2016. "Does Entrepreneurship Promote Economic Growth in Africa?," African Development Review, African Development Bank, vol. 28(2), pages 201-214, June.
    17. Goodall, Amanda H., 2009. "Highly cited leaders and the performance of research universities," Research Policy, Elsevier, vol. 38(7), pages 1079-1092, September.
    18. Raffaello Bronzini & Paolo Piselli, 2006. "Determinants of long-run regional productivity: the role of R&D, human capital and public infrastructure," Temi di discussione (Economic working papers) 597, Bank of Italy, Economic Research and International Relations Area.
    19. van de Klundert, T.C.M.J. & Smulders, J.A., 1991. "Reconstructing growth theory : A survey," Other publications TiSEM 19355c51-17eb-4d5d-aa66-b, Tilburg University, School of Economics and Management.
    20. Siemiński, Paweł & Hadyński, Jakub & Poczta, Walenty, 2020. "Diversification of Human Capital Resources in Rural and Urban Areas in Poland," Roczniki (Annals), Polish Association of Agricultural Economists and Agribusiness - Stowarzyszenie Ekonomistow Rolnictwa e Agrobiznesu (SERiA), vol. 2020(01).

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cuc:eforum:v:11:y:2021:i:1:p:166-175. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Economic Forum (email available below). General contact details of provider: https://e-forum.com.ua/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.