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Government policy to maintain macroeconomic stability: The case of Armenia

Author

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  • Mariam A. Voskanyan

    (Russian-Armenian University, Yerevan, Armenia)

Abstract

Macroeconomic regulation has always been one of the most pressing economic issues. The paper intends to assess the impact of the government policy on maintaining macroeconomic stability on the economic growth in the Republic of Armenia. Methodologically, the study relies on the propositions of economics; applies methods of qualitative and statistical analysis, observation and synthesis. The data are sourced from the National Statistics Service of the Republic of Armenia and the Central Bank of the Republic of Armenia. The paper considers the key theoretical approaches to the policy on maintaining macroeconomic stability and the major tools of its implementation, identifies positive and negative consequences of this policy for Armenia’s economic growth. The analysis of the monetary, currency, and fiscal policies of the country proves that the policy of macroeconomic stability adopted during the last 10 years leads to the decreasing rates of economic growth, especially in the long run. The ambiguity of the said policy in terms of the efficiency and balance of its outcomes confirms the necessity to reconsider its relevance in the emerging economies.

Suggested Citation

  • Mariam A. Voskanyan, 2022. "Government policy to maintain macroeconomic stability: The case of Armenia," Journal of New Economy, Ural State University of Economics, vol. 23(1), pages 24-42, April.
    • Handle: RePEc:url:izvest:v:23:y:2022:i:1:p:24-42
    DOI: 10.29141/2658-5081-2022-23-1-2
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    More about this item

    Keywords

    macroeconomic policy; fiscal policy; monetary policy; macroeconomic stability; economic growth;
    All these keywords.

    JEL classification:

    • E61 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Policy Objectives; Policy Designs and Consistency; Policy Coordination
    • E50 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - General
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development

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