Institutialization Features of the Financial Sector of the Economy

The article reveals the matters of current interest as institutialization of the financial sector from the point of view of the institutional paradigm, where terminology continues to evolve, reflecting the process of economic thought development. The purpose of the article is to determine the difference between institutialization and institutionalization, to obtain own perception of the institutialization of the financial sector, its stages and criteria. The article is based on general scientific methods of cognition: scientific abstraction, analysis and synthesis, functional and system analysis, induction and deduction, as well as the method of logical generalization. The interpretation of institutialization varies depending on the theoretical basis applied for the analysis of its issues and depends mainly on the approaches related to the research matter solution. Researchers may understand the institution in different ways (like norms, rules, organizations, institutions, a sustainable behaviour type, etc.); thus, the understanding of institutialization will also differ. The vision of institutialization is presented as a system-forming factor in the financial sector of the economy formation, when the institution is represented as a basic category of institutionalism. It is proved that the results of institutional transformations in national economies and their financial sectors are due to the adoption (import) of institutions, transplantation and the cultivation of the necessary institutes and institutions. The potential of institutional theories allows building a methodological apparatus that will thoroughly reflect the current state of financial and insurance activities, explain the qualitative dynamics of the financial sector and determine the factors defining the financial institutions behaviou

Economic Centrism Of Business Entities In Modern Financial Development

The aim of the article is to identify the characteristics and specifics of economic centrism of economic entities in modern financial development. The hypothesis of research that central planning is not possible for market development, and on the other hand, the diversity and adaptability of human behaviour in the economic sphere is the most significant circumstance of computational complexity that exceeds human or machine properties in search of an optimal solution. The research analyses the problem development through the time with highlighting main ideas, pros and cons, threats and opportunities. The paper states that the current financial and economic development of modern local economies of the world. It is impossible to expect that increasing the capacity of international markets in the near future will allow loading them at the expense of own demand for productive forces. This requires that the productive forces and demand of the population has to reach the level that is capable of restoring working capital in the volumes of full loading of fixed capital with a unified distribution and redistribution of the by-product. The main conclusions focus on statement that further economic development, the finances of economic entities, as generators and recipients of an additional product, take a leading position in initiating and introducing new principles of socio-economic coexistence within the state and the financial system