Page 36 - Azerbaijan State University of Economics

THE JOURNAL OF ECONOMIC SCIENCES: THEORY AND PRACTICE, V.73, # 1, 2016, pp. 4-37

We need other principles of measuring the purchasing power of money, price
indices on goods and services and the contribution of the science and technological
potential to the growth rates of real economy that take use of economic laws of
societal development as their pillars of support.
That means, all the agents of production, including the state, participate in the
development of real economy, and formulate the regulatory policies that adequately
reflect the modern realities.
Effective regulatory policies are being formulated by those who have a tough
control of the situation and are in hold of relevant information.
In the end, the situation now is such that the solution to the Granberg problem
set is primarily linked to the application of just and fair laws on measuring the
genuine cost of money.
First, it relates to the defining of the true cost of world‘s reserve currency. No
matter what is world‘s major reserve currency is expressed in. It may be in paper,
gold, energy, and other forms.
Second, it relates to the true cost of the national currency units of countries.
These are being defined not only by the level of the development of the science and
technology potential but also by the extent of the impact on them of the world‘s
major reserve currency unit.
Reference
[1] The Comments by I.V. Rosmainskii on the book of John B. Clark The
Distribution of Wealth. –М.: Helios APB 2000. -220p. [Internet source]. URL:
http://ie.boom.ru/.
[2] Schumpeter J.A., The Theory of Economic Development. Capitalism, Socialism
and Democracy. 2007. – 864p. p. 846-847.
[3] Friedman Milton. Capitalism and Freedom. — M.: New Edition, 2006. // Online
publication: Centre of Humanitarian Technologies. — 10.12.2009. URL:
http://gtmarket.ru/laboratory/basis/3318. p.77.
[4] Clark James. The Distribution of Wealth. – M.: Helios APN. 2000. -220p. p.122.
[5] Friedman Milton. Capitalism and Freedom. — M.: New Edition, 2006.
10.12.2009. URL: http://gtmarket.ru/laboratory/basis/3318. С.80.
[6] The well-known Irving Fisher exchange equation - pp*RGDP=v*M, where рр-
the GDP deflator, RGDP–the real GDP
[7] Consolidation of Lenin‘s Theories. XXXVIII. М.: Political Literature. 1975.
p.86-94
[8] Piketty Thomas, Capital in XXI Century /Thomas Piketty – M.:
AdMarginemPress, 2015. - p.73.

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