Prospects of optimal choice of monetary regime as a necessary condition of overcoming crisis phenomena in economy

Abstract

Introduction. Solution of the problem of the correct choice of targeting regime among several alternatives, which are mostly adapted to local realities, has become one of the most important and urgent tasks of macroeconomic regulation in Ukraine in modern conditions.

Purpose. The article aims to study the proposals and recommendations on choosing the best goals of monetary policy that can provide effective impact of monetary regulation of the economy.

The method (methodology). In the course of the study we have used the following general scientific methods as the method of systematic approach, method of analysis and synthesis of historical and logical approach, method of correlation analysis, forecasting method, graphical methods.

Results. The article deals with the practical aspects of application of different monetary regimes in Ukraine. Their main aim is the targeting of money supply, exchange rate and inflation. It has been grounded the unreasonableness of transition of National Bank of Ukraine to the inflation targeting regime. The proposals regarding the combination of flexible inflation targeting with a sloping exchange rate band have been worked out.