Sustainable Business and Monetary Policy

Book Abstract

The development of the world economy in modern conditions is being transformed under the influence of a number of factors that are not only man-made but also due to the imperfection of the system of economic relations that have developed as a resultof the absolutized denial of state regulation and attempts to replace it with suprana-tional rules. The basic determinants were the recommendations of the Washington Consensus (1992), which were aimed at an attempt to ensure an accelerated transition to the market rails of the states of the transformational economy after the collapseof the USSR, and they extended to all developing economies. This led to the forma-tion of the world capitalist economic system in the form of a pyramid. The economic globalization of the world economy is based on the internationalization of reproduc-tion value chains. The main drivers of world globalization have become TNCs or MNEs, which have launched active activities in developing countries, de facto ignor-ing national legal norms, and pursuing solely the goal of making a profit. As a result,the world economy has received by now the highest degree of disproportionality in the incomes of the population in both developed and developing countries; popula-tion aging in developed economies, deindustrialization of developed economies,lack of social mobility for young people.