Financial Balances in the System of Quantitative and Qualitative Assessments of Reproduction Processes in the National Economy

Authors

DOI:

https://doi.org/10.15407/scine21.01.017

Keywords:

system of financial balances of the national economy, national accounts, input-output table, matrices of social accounts, subsectors of the public sector, types of economic activity, system analysis, critical proportions, financial security and financial management

Abstract

Introduction. Financial balance sheets have been one of the primary informational and analytical tools for business management. At the national economy level, financial balances are constructed based on the methodology of the System of National Accounts (SNA) and serve as a foundation for managing the financial position of the state and the processes of economic reproduction across sectoral, institutional, and foreign economic dimensions.
Problem Statement. There is currently a need to develop a project model for an information and analytical system that facilitates the analysis, monitoring, and management of public finances.
Purpose. The aim of this study has been to determine the methodological foundations for constructing a system of financial balances for the national economy and to apply them for a comprehensive analysis of economic circulation processes and the financial position of the state. This approach enables the identification and resolution of negative trends and challenges, ensuring stable and sustainable economic reproduction.
Materials and Methods. This research is based on the SNA and several derivative financial balance sheets, including the input-output model, the balance of payments, public sector accounts by institutional sub-sectors, and the balance sheet of financial assets and liabilities. The study has employed general scientific and specialized methods, including analysis, synthesis, grouping, comparison, the balance method, and economic-mathematical modeling.
Results. A financial balance sheet system for the Ukrainian economy (2021) has been constructed based on the SNA, providing a comprehensive depiction of economic reproduction processes. It illustrates the connections between institutional sectors, sectors and markets, and other key relationships. The balance sheets have been prepared according to both aggregated and detailed frameworks. This toolkit is intended for expert evaluation of the qualitative characteristics of economic reproduction processes. The proposed approach to building a system of financial balances for the national economy can be further developed within sectoral and institutional frameworks.

Conclusions. The system of financial balances eff ectively characterizes the fi nancial condition of the national economy and individual financial processes. Its application allows for systematic investigation of economic cycle features, qualitative assessment of reproduction processes, and the development of effective mechanisms for national economic reproduction.

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Published

2025-01-25

How to Cite

GASANOV, S., KULYK, A., & KULYK , V. (2025). Financial Balances in the System of Quantitative and Qualitative Assessments of Reproduction Processes in the National Economy. Science and Innovation, 21(1), 17–34. https://doi.org/10.15407/scine21.01.017

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Section

General Questions on Modern Scientific, Technical and Innovation Policy