Academic journal article Journal of Economics and Economic Education Research

Modeling of Economic System of the Development of the Russian Federation System

Academic journal article Journal of Economics and Economic Education Research

Modeling of Economic System of the Development of the Russian Federation System

Article excerpt


In the past decades the world tendencies of development of economic systems are characterized by sharp fluctuations of macroeconomic showing (gross domestic product, rate of inflation, currency, loan interest, etc.). The crisis periods of international economy have become more frequent. Meanwhile, in economic theory, there are certain proportions of sustainable development of macroeconomic indices. For example, for the harmonious development the level of loan interest must be less than the level of profitability in industry and trade. From our point of view, these processes are caused by the lack of a mechanism of interaction between state and business structures.As the "invisible hand of Adam Smith"cannot regulate the market at the present stage, so it is necessary to measure the macroeconomic indicators and their adjustment in praesenti.


Macroeconomic modeling was presented in the works by foreign and home scientists. D. Ricardo and J.-B. Sayused graphical methods for micro-level. K. Marx applied the mathematical methods for macroanalysis of the structure of social reproduction. Also, these toolswere used by A. Marshall, J. M. Keynes, R. Harrod and A. Domar, P. Douglas and H. Cobb, R. Solow, E. Dennison, P. Samuelson, W. Nordhaus (SafiullinM. R.,1996; SafiullinM. R.,2007).

For the first time a consistent focus on the study of the intermarket interaction of markets of labor and capitalswas made in the works by J. Hicks and E. Hansen. At the same time, they overlooked the market of goods - the results of social production.

One should note such modern scientists in this field as A.Pigou, A. W. Phillips, M. Friedman, J. Kornai (SafiullinM. R.,1996; SafiullinM. R.,2007).

In the Soviet Union, among the most famous works in this area we would like to highlight the researches by L. Kantorovich, V. S.Nemchinov, A. Anchishkin.

The conceptual fundamentals of the system functional nine sector model of the market economy have been proposed by prof. M. R.Safiullin.

The nine sector model reflects the basic markets and intermarket interactions. Let us deal with the model mentioned above in more detail. The classical markets in Figure 1 are presented by quadrants:3 (labor market), 5 (commodities market) and 7 (capital market).

The first segment- "isoquanta of the production function". This quadrant shows mainly interchangeability of labor and capital as the factors of production. The general economic and mathematical model of the graph represented in quadrant 1 in Figure 1 is as follows (SafiullinM. R.,1996):

BPA = F ( St ) 1

where, BPA the cost of basic production assets;

S annual wage.

The second segment was titled"The dynamics of wages".The general economic and mathematical model for quadrant 2 is the following (SafiullinM. R.,1996):

St= F (PI,) 2

where, PI - formed at the point in timet in the national economy composite index of consumer prices.

The third quadrant "The proportions of the labor market" (see Fig. 1.-the traditional model of the labor market). The curves represented in it are aggregate offer and aggregate demand for labor power (SafiullinM. R.,1996).

The fourth quadrant (see Fig. 1) is "The production function on the basic production assets". It shows the amount of fixed production assets being necessary in order to produce the products corresponding to aggregate demand (offer) (SafiullinM. R.,1996).

The economic-mathematical model of this quadrant has the following form:

GDP = F ( BPA ) 3

where, GDPt - gross domestic product.

The fifth quadrant (see Fig. 1.)"Commodity market" is a traditional market model,the graphs represent the traditional curves of aggregate demand and supply of goods.

The sixth quadrant (Fig. 1) is a new graphic model, which is called as "The production function for labor". The economic sense is to show how much working hours (in number of the employed in the economy) the society needs to take in order to release the products (Figure 1) (SafiullinM. …

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