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This paper demonstrates that, despite the current mandate of monetary policy, its final goal (at least for central banks of developed countries) is the control of three main macroeconomic variables — economic growth, employment and inflation, — regardless on actual mandate for this policy. However, the priorities of realization of the final goal may face the imperfection of macroeconomic models and rules of monetary policy, which will make it impossible to control all three macroeconomic variables at the same time. The article proposes a new instrument for monetary policy — aggregate cumulative market imperfection — to optimize macroeconomic variables and stabilize cyclical economic dynamics. The author demonstrates the main competitive advantages of this instrument of monetary policy as compared with typical models of macroeconomic dynamics and simple rules of monetary policy (Simons, Friedman, and Taylor rules). In particular, this instrument is valid for any combination of market conditions, for any economy and for any moment of real time. It can be used simultaneously as: 1) a target of monetary policy; 2) a simple rule of monetary policy correction in the short-run; 3) a reaction function to evaluate a backward connection between the regulator's actions and the effect of these actions on current economic situation; and 4) an instrument to stabilize cyclical economic dynamics; 5) an instrument to forecast starting (ending) point of recessions and shift in macroeconomic trends. If we can hold the aggregate cumulative market imperfection within a given optimal interval with the help of government regulations (i.e. to target this indicator only) using all possible instruments both of monetary, and (if necessary) of other kinds of regulation policy, we will be able to optimize all three main macroeconomic variables. Optimality of these variables means providing maximum economic growth and employment under comfortable inflation for any combination of market conditions and for any moment of calendar time, which will at the same time stabilize cyclical economic dynamics. In doing so, we will not target each of these three variables separately, that is, it is practically impossible to determine quantitatively their optimal values as they change permanently over time together with the constant change of current combination of market conditions.

Introduction. The investigation is devoted to the issue of a national financial stability and economic growth. The theme of our investigation is topical because of the modern world economy processes. Some countries have been using different monetary, economic, and political instruments to stimulate growth of their national economies since the 2007 - 2009 world economic and financial crisis. Some developing countries began suffering from competitiveness losses of their national produces as a result of quantitative easing implemented by some developed countries such as, for example, the USA and Japan, or foreign exchange intervention by the central bank of Switzerland, in order to devaluate their national currencies. An aggressive monetary policy that aimed competitive devaluation led to the currency wars. Currency war is deliberate policy of manipulating exchange rates downwards to increase domestic competitiveness that takes place in many countries at the same time and can lead to economic crisis. What instruments can be used to manipulate exchange rates in the modern international monetary system? It depends on the exchange rate regime announced by a country. Nowadays developed countries mainly use interest rates as a key monetary instrument, and some of them apply a negative interest rate policy. Use of interest rates and quantitative easing by developing countries might have negative effect on the economy. Moreover, a key interest rate (or discount rate) in developing countries sometimes is just an indicator for banking system rates that can stimulate credit activity in a national economy. Specific objectives of the investigation are: 1) to determine effect of using different instruments of monetary policy by developed and developing countries; 2) to assess the results of implementing currency war methods in order to increase their national competitiveness for different countries. Statistical data has been found in the International Monetary Fund database. We applied indices connected with foreign exchange markets and monetary policy for about 50 countries including more than 20 countries which carry out monetary policy of competitive devaluation. Methods of investigation represent econometric analysis. Cluster and panel data analyses were used to determine groups of similar economies and the most powerful group of countries nowadays and find factors influenced competitiveness of regional and national economies connected with chosen indexes which show monetary policy effect. Results of the investigation are as follows. The methods and instruments of monetary policy are different for countries and they have been changing since 2007. They depend on the national and regional features of economic development. The key instrument for developed economies is supposed to be interest rates; not all of the countries with emerging markets can use them effectively. There are countries which have some advantages of currency wars but the global perspectives are vague. Conclusion is connected with determining of the perspectives of further changing in monetary policy by different countries, applying a negative interest rate policy, and currency wars expansion.

AbstractDid the financial and economic crisis (2008/2009) induce a permanent shift to more economic intervention in the advanced democracies? Three relevant theoretical perspectives are considered. First, the crisis could have led all governments to intervene more, irrespective of their partisan composition. Second, voter demand could have shifted towards more intervention due to the crisis, again inducing all governments to expand economic intervention. Third, increasing salience of economic issues could have led to an accentuation of partisan differences in economic policy which should have led to an expansion of economic intervention under left governments only. We present data from a new index of economic intervention, which show that governments increased economic intervention during the immediate crisis but returned to liberalization afterward. Similarly, statistical analyses show that partisan differences disappear during the acute crisis but return thereafter. Hence, the financial and economic crisis did not constitute a game‐changer in economic policymaking in advanced democracies.

Representing the speeches and papers given by ministers or other authorities at the symposium on Argentina's Economic Policy 1946-1983 held in Toledo, Spain, this collection spans both the economic and political dimensions of the development of Argentinian economic policies

Different models of strategy and procedure for change in South Africa / A. du Toit -- The new constitutional proposals and the possible transition to consociational democracy / L.J. Boulle -- A constitutional alternative for South Africa (Inkatha) / Gibson Thula -- Lessons from Rhodesia for constitutional change in South Africa / William J. Foltz -- The role of a free enterprise economy in combating social/political/economic inequality in South Africa / M.C. O'Dowd -- The political economy of change / Stanley B. Greenberg -- Redistribution issues and policies in the South African economy / S.F. Archer -- What does removal of race discrimination effectively mean in the South African context? / Michael Savage -- Security legislation and peaceful change in South Africa / A.S. Mathews -- An effective alternative housing policy for South Africa / Gavin Maasdorp -- Education and consociational conflict regulation in plural societies / Theodor Hanf