Coordination of federal and regional actions of stabilization policy for heterogeneous economic area

Abstract

The purpose of this article is to discuss conceptual approaches to the development of stabilization policy in federal countries. In this article, the authors have justified the need for a regional component in the mechanism of the domestic price level stabilization policy and systemized relevant factors that have a significant impact on the spatial outcome of stabilization policy. The article proposes a method of determining the spatial zones of high, medium and low “susceptibility” to measures of stabilization policy center, and includes the following: 1) analysis of regional price manageability background; 2) sensitivity study of the regional banking system to a change in central bank policy; 3) elasticity analysis of the reaction of the population and business in the region to change the activity of the regional banking system. The authors have formulated the principles of coordination of actions between the federal center and the regions in the implementation of stabilization policies that allow to take into account differences between the regions in response to the changes made in federal policy. The paper has substantiated the system of performance indicators that measures anti-inflationary policy and also takes into account the heterogeneity of economic space of the Russian Federation in the context of the “direct” and “conjugate” effects on the central regions. Theoretical position application and output indicators, which are outlined in this article allow building a system of coordination and interaction between the federal center and the regions and thus ensuring the effectiveness of stabilization policies and non-inflationary development of Russia.