POSSIBILITY OF COORDINATION OF MONETARY AND FISCAL POLICIES IN EEU: KYRGYZSTAN CASE

Abstract

Integration processes continue in the EEU. They move in different directions, increasing the rate of circulation of goods, people and capital within the Union. In the developments taking place in the Union, special attention should be paid to innovative processes, which are influenced by many factors of internal and external politics. In general, the modernization of the EEU economy as a result of the use of advanced technologies of the time is a very important agenda that should be pursued in all member states. In this context, this study refers to the Kyrgyz economy, within the framework of which the possibilities of coordinating monetary and fiscal policies in the country were studied in terms of achieving two main goals: the maximum gross output of the high-tech industry and the minimum levels of inflation. Based on the above objectives, the dynamics of fiscal and monetary policy instruments and a number of other economic indicators were considered in the research. Based on it, two econometric models were proposed, which were the winning functions of the proposed game model. After estimating the above models, the components of the game matrix were calculated. As a result of the observation of the matrix game, the partial possibilities of coordination of fiscal and monetary policies were shown.