Abstract
In the course of economic globalization a process of formation of the united financial market has evolved.Integratedness of different sectors of financial market into its global form is largely stipulated by development offinancial innovations and of new financial instruments. Subjacent and timeless nature of modern financialtransactions leads to blurring of distinction between money and capital markets. The united market means agradual merge of financial risks and increase of volumes and unpredictability of aggregate risk in the result ofsynergetic effect contained in the nature of financial market as of a nonlinear dynamical system. Seriousinfluence on stability of financial market has a behavioral psychology of its participants that is connected withreflexivity specific to financial capital. Financial market can be described only by nonlinear stochastic equations.In this article we made the efforts to set the parameters for such a model. Basing on non-stability of a globalfinancial market and under influence of globalization factors it was concluded that it is necessary to check thehypotheses on formation of a financial cycle apart from general business cycle.
Highlights
Consequences of economic crisis, problems of financial state of several states including leading economics of the world, issues of Russia’s entry to the World Trade Organization (WTO) and discussions connected therewith – all of it can be regarded as a reflection of world economics internationalization and globalization process
Basing on non-stability of a global financial market and under influence of globalization factors it was concluded that it is necessary to check the hypotheses on formation of a financial cycle apart from general business cycle
Development of main forms of financial globalization had a great impact on financial market stability
Summary
Consequences of economic crisis, problems of financial state of several states including leading economics of the world, issues of Russia’s entry to the World Trade Organization (WTO) and discussions connected therewith – all of it can be regarded as a reflection of world economics internationalization and globalization process. We single out two methodological principles of global financial market analysis: first - structural and functional, second – institutional (Akhmetov, 2011). The first principle is connected with study of functions of money and capital, their changes in a modern world, dynamics of offer and demand on money and capital. Structural analysis relates to structure and dynamics of financial markets. Issues of institutional development of a financial market are highly important for study and specification of modern processes in the sphere of finances
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