BORYS E. KVASNYUK ON THE DEPENDENCE OF ECONOMIC GROWTH ON THE LEVEL OF SAVINGS

Abstract

The article is devoted to outstanding scientist Boris E. Kvasniuk, who in his research focused on a wide range of topical issues of economic growth, increased efficiency of the state regulation of the economy, made a significant contribution to the theory of economic growth, and scientifically substantiated the basic structural proportions of GDP to ensure a stable investment in Ukraine’s economic growth. The theoretical and methodological foundations of the formation of the national savings, their specifics for various institutional sectors of the economy, the impact of government policies on the level of consumer spending in GDP and gross capital accumulation were presented in his works at a high scientific level. Borys E. Kvasnyuk identified the reasons for the volatility of gross savings and the high dependence of the economy on external financing and external shocks in Ukraine. Long before the new crisis of 2009, he warned about the need for the state support of domestic producers until they improve their competitiveness to a level ensuring a balance in foreign trade in goods and foreign exchange stability. He also foresaw that subsequently the overseas income of Ukrainians would become a factor in balancing the current account of the balance of payments, while the revenues from foreign direct investment would be a factor in its deterioration and would increase the dependence of Ukraine’s economy on external factors. Kvasnyuk’s works remain relevant for new generations of researchers as they reveal the fundamental principles of economic development and the role of the state in supporting the macroeconomic equilibrium.