Features and social-economic consequences of the inflation process in Kazakhstan

Abstract

The purpose of the article is to determine the features of the inflationary process in Kazakhstan in the conditions of economic downturn, to justify the socio-economic consequences of the manifestation of inflation in the country. In present conditions for science and practice, it is important to redefine the content of the concept of "inflation", to further identify the causes of its occurrence. Imbalances in economic and social development are the main cause of inflation as they increase prices and reduce the purchasing power of the population. In this regard, the following specific reasons for inflationary growth are highlighted such as imbalance of government revenues and expenditures; an increase in costs associated with strengthening the defence capability; changes in the structure of the market; an increase in the openness of the economy. Economic and social disparities deepen inequality between regions. This has had a very negative impact on the inflation rate in Kazakhstan over the past 27 years. The socio-economic consequences of inflationary processes are very significant. They touched the state funds; management and decision making in the economy; increasing labor productivity, technological modernization; the emergence of weak regions; destabilization of external environmental relations. To solve the problems associated with inflation, an algorithm for studying this issue is proposed.The recommendations pay special attention to the need to study the problem of monetary policy in the context of a downturn in the economy. Particular emphasis is placed on the correct construction of the anti-inflationary policy, taking into account the consequences of the pandemic.