17.09.2020

Stagnation period briefly. Stagnation in the economy - what it is and how to maintain business during this period. Denomination - that these are simple words, as affects the state and its inhabitants


Finance\u003e Economy\u003e Why economic processes The decline is so sensible for citizens?

In the light of the latest events of people who do not have economic or financial education, are interested in what is the ruble stagnation? In its essence, any currency should be a real display of state economy state. If it does not develop, the strengthening of the currency, and even more so its stability remains in question. On the other hand, continuous economic development leads to strengthening domestic money and their competitiveness in world markets.

At the moment, the ruble is still in a state of stagnation, because its importance has decreased significantly in recent months.

What does the word stagnation in the economy mean? If you just say, it is a stop. That is, such processes occur, which cannot be called neither positive or negative. However, experts claim that any manifestation of such a position is poorly for the population, because the processes of inflation in economic depression increase, as well as the level of wage indexing, pensions, other social rewards fall.

For example, the stagnation of the real estate market - what is it? A situation in which there is no new proposals on the market, that is, the development does not occur, and the demand is growing. The price, of course, increases, but economically the market does not grow, because the proposal falls.

Such a crisis may well lead to a collapse that occurred in the United States in 2008. True, then the situation was a mirror: housing was much more than the demand was. Prices fell, and developers could not pay a loan.

Another example. Bank stagnation - what is it? Against the background of general development, the resources of the financial institution do not allow it to produce work in the direction of development. From here negative consequence in the form of a lack of claim. This provision may lead to initial refinancing, and then to the closure of the institution.

Economic analysis

Devaluation and stagnation - what it is simple words It is difficult to explain, but try. Devaluation is the process of depletion. That is yesterday your savings in national currency it was possible to exchange for one or another number material benefits. The devaluation process intensified and in one day you can lose part of your purchase opportunities. Stagnation is always intertwined with devaluation, because in the economy there can be no depreciation without a crisis and decline.

What does the word stagnation in the economy can be read on various resources on the Internet, including in the Wikipedia encyclopedia.

In general, it is written more difficult, but from a scientific point of view it is true. In any case, this process cannot be called positive. However, it is cyclically - that is, any economy, in any case, functioning within the world is subject to decline. Often this process is observed in countries where economic growth rates were rapidly.

What is an economic stagnation, the definition in Wikipedia explains from the first mention of classics about this state of development. Adam Smith remains the best connoisseur, which wrote that stagnation is the natural process of the economic functioning of the state within the unstable world.

Good day, friends!

Today, such terms are often pronounced, which are incomprehensible to an ordinary person.

Now I will try to explain the usual language what stagnation is.

Agree that when you do not know the meanings of some word, you can not always understand the meaning of the sentence.

Such terms can often be heard on television, see and on the Internet or read in the newspaper.

Information on the topic: How to make money in a crisis with the help of creativity?

In addition, explain to a simple conversational language, which means the word stagnation is impossible.

Stagnation What is such simple words.

This term is used in three different types Sciences, each of which uses a separate word, but the value is the same.

  1. In the field of ecology, stagnation is called the lack of oxygen in the reservoir;
  2. In psychology, this term means the cessation of the growth of the culture of society. Another word is called humiliation of the rights of people who seek to develop, and does this government;
  3. In the field of economics, stagnation is called problems on some kind of production, which, as a result, lead to the deterioration of the country's financial situation.

Basically, the concept of stagnation tightly let its roots in the economic sphere. This will be discussed today. Stagnation in production is a long-term stagnation or problem with the sale of products. If we talk simple words, then for a while economic condition Countries sleep and there is no progress, which ultimately leads to a crisis.

Information on the topic:

For conviction in economic stagnation, it is necessary to know its signs.

First feature - Problems with employment.

Second sign - It is also important when the state's currency depreciates, thereby declining the economy and the crisis begins. The financial condition of enterprises is significantly reduced and capital outflow begins with the reduction of jobs.

Third sign - This is when the pace of development of production decreases and the state economy is lagging behind other countries. The last and obvious sign is a decrease in the standard of living of the population. This process occurs unnoticed, but the consistently purchasing power of people is noticeably reduced.

In addition to noticeable reasons for stagnation, there are still factors that can cause financial instability.

What is stagnation in the economy - just about the difficult

Separately I would like to note low level political situation. For example, in the country there may be wars and conflicts with other states or there may be no cooperation with other countries, which also significantly reduces the economic situation.

Fighting with stagnation.

Fight so phenomenon as stagnation is quite real. Here a lot depends on power in general, but also important support for the people. Also handle it is necessary for major producers of the country.

In case of stagnation, you need to start looking for assistance outside the country. For example, we can make up new contracts for the market for the sale of the country's products. It is very important to develop science in general and prompt new generations to this. Authorities should not regret money for encouraging for some victories in international competitions.

Information on the topic to help avoid inflation consequences:

The development of the state needs to introduce new technologies. It is very important to upgrade equipment at different industries to increase the competitiveness of products and services that are provided. Small and medium-sized businesses should support financial condition as much as possible.

In each country in which there is a problem of stagnation, different occurs, not similar to other situation, so ways to deal with this problem should be completely different.

Causes of stagnation

The reasons that cause stagnation are also different, so there can be no single solution to this problem. In any case, it is necessary to run on the financial condition of the country that has encountered stagnation.

The best remedy for stagnation is to search for new features and earn more. Many people have already taken advantage of this opportunity and successfully earn the Internet without any tension.

I wish you success! Earn!

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DESSERT

The first sign of such a state national Economy is a weak dynamics or a complete absence gDP growth. Stagnation is an economic period of temporary stabilization before the crisis that you need to identify and use it on time.

Stagnation (Lat. Stagnatio is a fixed) - the state of the economy, in which there is no growth in the volume of GDP, but at the same time does not observe a rapid decline in business activity, the manufacturing sector and the service sector. In time, it can continue from six months to several years with a slight, about 2-3% per year, a drop or growth of gross domestic product.

If the period of stagnation is accompanied by an increase in inflation, then such a state is called staging. Differently different from the economic crisis (recession), although in most cases it is its preliminary stage: if stagnation is a slight change macroeconomic indicatorsThe recession is characterized by a significant drop.

Causes of the emergence and consequences

The main cause of occurrence in the wrong monetary public Policy - monopolies in separate sectors, outdated main production fundsHigh interest rates, lack of support for investments and promising technological developments, excessive bureaucracy and other "regulatory" factors.

Specific traits:

  • the rate of increase in production remains on the same level, but the overall economic growth is minimal, which begins to lead to the lag not only in the internal, but also on the foreign market;
  • due to the narrowing of the employment sphere begins a natural increase in inflation: the economy cannot be more supported in an active condition and unemployment growth begins, especially hidden.
  • another part of GDP begins to move to the shadow sector, partly to compensate for hidden unemployment, which causes a decrease in tax deductions, slowing the official sector of the economy and strengthen destructive phenomena.

Separately, it is possible to allocate the policy of isolation of the national economy using excessive state regulation Export-import operations or a complete refusal of external contacts, for example, as in North Korea (DPRK), after which the stagnation inevitably begins. Simple words - in conditions global economy Isolation always leads to stabilization and further fall of GDP.

Basic consequences:

  • lack of growth in all sectors of the economy;
  • reducing trade turnover and business activity;
  • outflow of capital and investment;
  • inflation growth and employment reduction;
  • after a short period of stabilization, the standard of living falls sharply.

The zero growth of GDP and the inability of the economy to respond to local and global changes, even with the unchanged structure of the economy, in the end leads to the beginning of the recession, which predicts the beginning of a large-scale crisis.

Types of stagnation

For reasons, manifestations and methods of overcoming allocate two main varieties:

1Monopolistic. It occurs when the levers of influence on the situation in the economy are in the hands of a narrow circle of monopoly enterprises and associations, which eliminates competition, and, as a result, we get:

  • a constant decline in quality, overproduction of goods and the work of enterprises is not at full capacity, which leads to massive dismissals;
  • slowdown or complete lack of investment in the industrial sphere;
  • the disappearance of small and medium-sized businesses associated with this additional increase in unemployment and falling the standard of living;

The classic example is the "Great Depression" in the 30s of the last century, when overproduction has reached critical scales, followed by stagnation, which in turn led to a recession and the final crisis with the full collapse of the financial system.

1Transitional. It occurs when changing the administrative and command economy for mixed or completely market. It is a consequence of a long ignoring basic economic laws, ineffective planning and management. The most brightly manifested with the collapse of the USSR, when all the post-Soviet states received a sharp decline in production, investment and scientific potential due to the destruction of the prevailing household connections and low competitiveness of goods in external and domestic markets.

Ways to overcome

According to the theory of stagnation, created by J. Standl, P. Baran, P. Sui, the monopoly stage of the economy can be reformed without significant decline. They argue that in the case when it is impossible to quickly restore competition, it is necessary to create conditions for the maximum useful use Monopoly income.

In essence, the overproduction crisis means the difficulties in placing capital are still working enterprises, and one of the solutions can be stimulated by exports and export of capital. This will allow you to maintain the current loading of production facilities and the level of quality, which, in turn, will increase the purchasing power of the population and stimulates domestic market consumption.

A more complex option is the transitional stagnation - this state of the economy was present everywhere, where there was a complete change in the political system. Universal solutions were not found, so each country should decide the question individually. The old regulation processes no longer work, and the new ones have not yet gained strength, and in this state of the chaos, it is impossible to guarantee the implementation of economic laws. That is why the transitional version of the stagnation almost always goes the crisis period, to prevent which is almost impossible.

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In economics, stagnation in production, trade, etc. It is expressed in zero or minor growth rates, the unchanged structure of the economy, its immunity to innovations, scientific and technical progress. The state of stagnation was characteristic of the US economy in the 1930s, for the Soviet economy in the mid-1970s - late 80s.

Modern encyclopedia. 2000 .

Synonyms:

Watch what is "stagnation" in other dictionaries:

    Stagnation - - Long-term stagnation in the economy. It is expressed in low (or zero) GDP growth rates, high unemployment, decrease in the standard of living of the population. During the period of stagnation, the structure of the economy remains unchanged, does not occur significant ... Banking encyclopedia

    In the economy, the phenomenon in the economy of the country, which is stagnation, lack of increase in industrial and agricultural production, in the trade turnover. In English: Stagnation See also: Economic Cycles Financial vocabulary Finam ... ... ... Financial vocabulary

    - (FR. Stagnation, from Lat. Stagno I do a fixed, stop; lat. Stagnum Standing Water): Stagnation (Economics) Stagnation in production, trade, etc. Stagnation (ecology) Stagnation, leading in ... ... Wikipedia

    - [Russian Language Foreign Words Dictionary

    Strip, stagflation, stagnation, decline, depression dictionary of Russian synonyms. Stagnation see the stagnation of the synonyms of the Russian language. Practical directory. M.: Russian. Z. E. Alexandrova. 2011 ... Synonym dictionary

    - (Stagnation) The situation when there is no or very weak changes in the technique or income levels. This situation is opposite to development when the first changes, and incomes grow. Economy. Dictionary. M.: Infra M, Publisher World ... Economic Dictionary

    Stagnation, stagnation, mn. No, wives (Lat. Stagnatio immobility from Stagnum standing water) (ECON.). Stagnation, lack of development. Stagnation in the production of a common phenomenon for monopolistic capitalism. Explanatory dictionary of Ushakov. D.N. Ushakov. ... ... Explanatory Dictionary Ushakov

    stagnation - The state of the economic object or district, in which there is no growth in production for a long time and the more its development. SYN: Economic stagnation; Stagnation ... Dictionary on geography

    The state of the economy, characterized by the production of production, trading for a long period. C. accompanied by an increase in the number of unemployed, decrease wages and the standard of living of the population. Vocabulary of business terms. Academician ... Business Terms Dictionary

    - (from Lat. Stagno I do a fixed) in the economy stagnation in production, trading, etc. Big Encyclopedic Dictionary

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What is it - stagnation? In Latin, there is such a word "stagnatio" that translated into Russian denotes "immobility". It is called such economic Terminlike "stagnation". From the given translation, it is clear that it describes the phenomenon of a negative nature. About what stagnation is simple language will be told in the article.

The general concept of the term

If we talk about stagnation by simple words, this is such an economic situation that is characterized in the market, stopping in the development of production, weakening trade activities. All this should occur over a long period.

Stagnation in the economy is literally braking, renewal deficit and production, and in other types of business, including financially. At the same time, the production of new types of products is stopped, unemployment increases, in all sectors of the economy there is a drop in the level of wages, as well as the standard of living in the country.

The stagnation of the market is the absence of its susceptibility to innovation, to scientific and technical progress. He does not let any innovations, everything goes on the rolled, the structure of the economy "freezes". There are two types of economic stagnation, which differ from each other for the reasons for which they appeared, by how they proceed, and by the possibilities of exiting the situation.

First type of stagnation

The first type of stagnation is a monopoly type. Its reason is the overaffect of monopolist enterprises on the economic arena. They slander competitors, thereby not giving opportunities for business development. Most of all this type is inherent in the production sector, so the protracted economic "fever" begins here. The main characteristics of this process are as follows:

  • Sharp reduction of investment packages.
  • Unemployment on a massive scale.

American economists-theorists to overcome such phenomena offer to stimulate the growth of achievements in the art and science, export of capital abroad and increase the purchasing power of the country's population.

Second type of stagnation

The second type of stagnation is stagnation transition period. It is characterized by the peculiarities of the country's transition from one economic device to another - from the planned-command to the market. He took place in the countries included in the Soviet Union, at the end of the last century, when there was an unprecedented production and investment decline, there was an outflow of "minds" in the West countries.

All economic industries were strongly affected. Due to the lack of products that could withstand competition, the ex-Soviet republics had no opportunity to smoothly join the global economy.

As an output from the second type of stagnation, economists offer actions to suspend the decline in production with the involvement of the complex of goods and services due to the boundaries. As well as further stabilization of the situation with access to growth processes.

About the reasons for stagnation in the country

Scientists adhere to the opinions that economic stagnation need to learn to predict, but this thing is very difficult. After all, the reasons for stagnation are always more than two or three. The reasons for stagnation are a whole range of factors. As a rule, they are easier to analyze after fact. Among the most common causes can be called the following:

  • increased bureaucracy of the structures of the state apparatus;
  • corruption of managers and representatives of the business community in some industries;
  • lag in science financing;
  • worniness of economic equipment;
  • the weakening of financial and trade relations with other states;
  • errors in choosing a political course (with the second type of stagnation).

Local reasons for stagnation

As for stagnation in a particular branch of the economy or on concrete enterprise, There may be several other reasons here. For example, stagnation in the work of any commercial firm happens with fatigue from continuous growth, from reducing resources, from the core of the structure and methods of carrying out activities, the lack of new ideas and developments.

Stagnation within a separate business to overcome easier than on state levelHowever, if it coincides with the economic decline across the country, the private structure falls under a double blow.

Theoretical ways output

In order for the country to come out of the protracted crisis, its leaders should have a clear plan and take agreed measures designed to restructure the economy.

An unambiguous recipe for what exactly these measures should be, today it does not exist. But still there are proposals of theoretical scientists on this matter. They are reduced to the following actions aimed at eliminating the reasons for stagnation:

  1. Strengthening anti-corruption measures at the highest imperative level.
  2. Fighting unnecessary bureaucratization of the management apparatus.
  3. An increase in the scale of investment in the development of scientific and technological progress, specific innovative developments (especially those associated with the nanotechnology industry, medicine and the development of space).
  4. Update the material and technical base in production.
  5. Optimization of economic relations with other states.

It would seem that economists-practitioners, like no other, are able to make their weighty contribution to the resolution of issues of overcoming stagnation. But in fact, the situation is quite difficult. Since the proposed paths are not always completely thoughtful, equipped with the mechanisms of their implementation. Nevertheless, let's call them.

  1. The speedy introduction to the production of the latest developments in the field of science and technology in all economic segments. (Question: How could these developments be created in a reduction in financial injections?)
  2. Increasing the level of purchasing power of people. (Question: Due to what resources and mechanisms should it be implemented?)
  3. Reducing the cost package in the production of products. (Question: Is it possible to reduce costs in the presence of outdated equipment and what else to save?)
  4. Increased revenue I. tax revenues Due to the profits of monopolist enterprises.
  5. Stimulating the development of production designed for export. (Question: How to reverse the situation if connections with other states are low?)

Dangerous consequences of stagnation

The results of stagnation are, simple words, loss of jobs, reducing the possibility to acquire anything significant for the family, the lack of decent goods on the counters, the need to "delay the belt". It is a stop in the development of scientific thought and in its embodiment, the backlog in health care, education and armament.

What threatens such a situation? It is very dangerous and can lead to revolutionary sentiment, to calls for the overthrow of the existing power, mass performances on the streets, strikes in enterprises. When reading it in detail with the meaning of the word "stagnation", with its dangerous consequences and the difficulties of overcoming, which one can conclude? How to get rid of her if neither theorists nor practices do not know this?

It seems that it is necessary to make a conclusion that, firstly, theoretically, this negative phenomenon has been studied, and secondly, we all witness that it can overcome. For example, as it was in the USA after the 30s and on the territory former USSR After the 90s of the last century. And therefore the specific government of a particular country that has fallen into a protracted economic crisismust and can find the only true solutions and ways to implement them.

A modern man often has to hear the word "stagnation". Not knowing the meaning of this term, we sometimes cannot fully understand the meaning of the read article or the heard news.

Meanwhile, it is not so difficult to explain that such stagnation is not so difficult. This large-scale definition is used in three types of sciences.

And even though it is described by various words, still has a number of common features, the main of which can be called stagnation and the suppression of development with a tendency to quickly destruction.

Thus, environmentalists are stagnation called problems with the flow of oxygen in the reservoirs;

Psychologists - the cessation of the growth of the cultural development of society as a whole or purposeful infringement of the rights of a group of people who are committed to development, dictatorial government;

Economists are a number of production problems that over time lead to deterioration of the country's financial situation.

The concept of "stagnation" was particularly firmly entrenched in economic subtext, which will be discussed in more detail below.

Economic stagnation that is such simple words

Specialists in the field of finance refer to the stagnation of the economy is its condition, which is accompanied by long-term stagnation in the production and sale of products.

In other words, for several years, the state's economy as it were, as it were, "dormant". The lack of progress ultimately becomes the cause of decline and inevitably leads to a crisis.

Signs characteristic of economic stagnation:

  1. Employment decline;
    Depreciation of the currency of the state, accompanied by crisis phenomena, reduces the pace of economic development. This causes deterioration financial state enterprises contribute to capital outflow and job reduction.
  2. The lack of increasing the pace of production and its development, which is why the state in economic terms begins to grow far from other countries.
  3. Deterioration in the standard of living of the country's population.
    This process begins almost unnoticed, the purchasing power decreases gradually, but continuously.

Negative phenomena contributing to stagnation in the economy:

  • Bureaucracy;
  • Lack of effective tools for proper economy management;
  • Poor-quality execution by the controlling bodies of the functions assigned to them;
  • Insufficient investment in the development of science;
  • Conservatism in solving economic issues;
  • Appointment to the governing bodies of persons with inappropriate or insufficient qualifications;
  • Corruption among officials and civil servants;
  • Poor political situation (lack of cooperation with other countries, conflicts, war).

The consequences of stagnation can be delayed or mitigated thanks to state support measures or appealing for help in international financial organizationsFor example, the IMF.

What is stagnation in simple language: types of stagnation

To explain, stagnation that it is such simple words, you should figure out in more detail, where "is" the described phenomenon "originate"? Select 2 types of economic stagnation:

  1. Monopolistic.

The reasons for its occurrence are: the predominance of large firms in the state market and the obstacle to the development of market competition.

The lack of incentives is fraught with a stop in the development of the country's economy.

In the pursuit of the number of goods and services begins to suffer their quality, since the manufacturer is not interested in increasing their competitive characteristics.

  1. Transition.

TO this kind Stagnation leads a sharp decline in production volumes and a large outflow of capital from the country.

Despite the fact that this species is not fully studied by economists, it is easily recognizable and sufficiently distributed, especially often by transitional stagnation accompanied by a cardinal shift. economic System states.

To understand what stagnation is a simple language, you can, considering the most vivid examples of both types of this phenomenon:

  1. The United States, the 1920s is the period preceding the Great Depression of 1929-1933. Then, on the background of the oversupply of production at the enterprises of the monopolists, all the ways to the development of small and medium-sized businesses were blocked.
  2. Soviet Union, the end of the 1980s - last years The existence of the state. At this time, the market economy began to gain momentum, but the process was hampered by the planned control system. It turned out that the previous regulation mechanisms were no longer effective, and the new ones did not gain strength. It provoked a crisis in almost all areas and by the 1990s led to economic decline.

Stop in development and stagnation in all spheres economic activity The person is customary called the term Latin origin - stagnation (English Stagnation from Lat. Stagnatio). Economists call stagnation such a state of the economy in which:

  1. The dynamics of changes in GDP is strongly reduced;
  2. Stagnation in the field of production;
  3. Stagnation in the field of trade;
  4. Stagnation in the sphere of scientific and technological progress and the lack of innovation;
  5. The total flow of investments in all spheres of the economy falls.

Do not confuse stagnation with recession. Although the other phenomenon is part of the same structure - the economic cycle, they, despite the external similarity, have a number of fundamental differences. And most importantly of them are that the recession is characterized by the dynamics of decline in all the main indicators of the economy, and the stagnation is expressed in the fact that every dynamics is practically reduced to zero (there is no growth and decline, and the economy, in fact, trample in one place) .

One of the status indicators is the dynamics of changes in exchange (stock) indexes. At that time, the main stock indices of the country (when analyzing the state of the national economy) or the world (when analyzing the global economic situation) show the dynamics of changes within one percent, it is suggested that the economy is in the stagnation phase.

Two main forms of stagnation of the economy

Depending on the origins of origin, the forms of manifestation and methods of overcoming, in economic theory It is customary to allocate the following basic forms of stagnation:

  1. Monopolistic form;
  2. Transitional form.

The reason for the occurrence of the monopolistic form of stagnation is to reduce such a production progress engine as competition. Due to the fact that whole industries are subject to control of the same structure, they cease to compete with each other. The meaning of this completely disappears for the simple reason that the final consumer produced in the framework of the monopoly of products does not have any choice, or, in other words, he is forced to "take what they give."

The absence of the desire for the development and improvement of the quality of products inevitably leads to stagnation in the sphere of the production of goods. And this, in turn, can pull (brake) and the entire economy of the country as a whole.

There is a whole theory of stagnation, according to which it is possible to overcome its monopolistic form in such a way that the economy does not only fall into the next crisis, but also began to develop a new pace. The main steps for this are:

  • Massive introduction of scientific and technological progress;
  • Reduction of production costs;
  • Widespread use of the law of maximizing monopoly profits.

The transitional form of stagnation is associated with the transition of the economy from one of its form to another. As a bright example of this kind of stagnation, the transition from the administrative and command economic system to the mixed economy in the countries of the former USSR can be given.

IN this case The slowdown in the development pace (or complete stop) is directly related to the fact that the entire state infrastructure is sharpened for some standards in urgent order Forced to rebuild under other rules and rules. And this is inevitably connected with some braking or even a complete stop of production activities and, as a result, with the suspension of the gross national product (GNP) growth of the country.

Such stagnation almost inevitably leads to a recession of the economy, which, in turn, continues until the entire transition of the entire country's economy is carried out in a new direction.

It should be noted that, contrary to a common opinion that stagnation is nothing more than the forerunner of the next financial crisis (decline or recession in the economy), in fact it can prevail equally as another decline and the next rise in economic development.

According to which economic development occurs within the framework of the structure consisting of four types of cycles:

  1. Big Condratyev cycles dura 45-60 years;
  2. Blacksmith cycles lasting 15-25 years;
  3. Zeilor's cycles lasting 7-11 years;
  4. Kitchin cycles lasting 3-4 years.

In this structure, each small cycle is part of more, and he in turn is more economic cycle. So, large Condratyev cycles consist of two cycles of the blacksmith, four cycles of Jewor and eight kitchin cycles.

So, according to the theory of cycles, the period of stagnation precedes each decline and every lift in the economy. Stagnation After the decline is characterized by a gradual decrease in the rate of fall, and for stagnation after the rise, on the contrary, is characterized by a decrease in the pace of development in the main sectors of the national economy.

And in that and in another case, stagnation is a stop before starting movement towards the opposite of the previous movement of the economy. It can be called an equilibrium state between the tendency towards an increase and the tendency to reduce the level of economic development.


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