The definition of entirety of the economical relations formed in the process of formation, distribution and habit of finances, as money sources is widely unfold. For illustration, in "the universal theory of finances" in attendance are two definitions of finances:
1) "...Finances cogitate economical relations, formation of the funds of money sources, in the process of distribution and redistribution of state-run revenue according to the distribution and usage". This definition is specified relatively to the conditions of Capitalism, what time cash-commodity relations profit universal character;
2) "Finances stand in for the formation of centralized billboard decentralized money sources, economical relations relatively with the distribution and habit, which achieve in support of fulfillment of the state functions and obligations and plus provision of the conditions of the widened extra production". This definition is brought with no presentation the natural environment of its skirmish. We share partly such explanation of finances and think practical to promote to a number of specification.
First, finances overcome the bounds of distribution and redistribution service of the state-run profits, though it is a basic foundation of finances. Also, formation and habit of the decrease endowment which is the part of pecuniary domain, belongs not to the distribution and redistribution of the state-run profits (of newly formed price for the period of a year), but to the distribution of already industrial price.
This most recent firstly appears to be a part of price of most important business funds, soon after it is motivated to the cost outlay of a keen result (that is to the price too) and like its realization, and it is agree the depression endowment. Its source is taken into bank account ahead of offer as a depression kind in the consistence of the keen products cost outlay.
Second, most important goal of finances is much wider so therefore "fulfillment of the state functions and obligations and provision of conditions in support of the widened extra production". Finances exist on the state level and plus on the manufactures and branches' level too, and in such conditions, what time the the majority part of the manufactures are not state.
V. M. Rodionova has a altered sit approaching this area under discussion: "real formation of the pecuniary income begins on the stage of distribution, what time the price is realized and distinct economical forms of the realized price are separated from the consistence of the profit". V. M. Rodionova makes an accent of finances, as distributing relations, what time D. S. Moliakov underlines business foundation of finances. Though both of them dedicate quite substantiate talk of finances, as a scheme of formation, distribution and habit of the funds of money sources, with the purpose of comes not at home of the following definition of the finances: "financial cash relations, which forms in the process of distribution and redistribution of the partial price of the state-run wealth and add up social result, is allied with the subjects of the cutback and formation and habit of the state cash incomes and savings in the widened extra production, in the material stimulation of the workers in support of satisfaction of the society social and other requests".
Taking part in the manuals of the opinionated cutback we encounter with the following definitions of finances:
"Finances of the socialistic state stand in for economical (cash) relations, with the help of which, in the way of considered distribution of the incomes and savings the funds of money sources of the state and socialistic manufactures are formed in support of guaranteeing the growth of the production, rising the material and cultural level of the group and in support of satisfying other universal society requests".
"The scheme of creation and habit of needed funds of cash income in support of guarantying socialistic widened extra production stand in for exactly the finances of the socialistic society. And the entirety of economical relations arisen flanked by state, manufactures and organizations, brushwood, regions and separate civilian according to the movement of cash funds promote to pecuniary relations".
Since we've seen, definitions of finances made by financiers and opinionated economists figure out not vary greatly.
Taking part in all discussed sit in attendance are:
1) air of essence and phenomenon in the definition of finances;
2) the definition of finances, as the scheme of the creation and habit of funds of cash sources on the level of phenomenon.
3) Distribution of finances as social result and the price of state-run profits, definition of the distributions considered character, most important goals of the cutback and economical relations, in support of servicing of which it is used.
If rubbish the preposition "socialistic" in the definition of finances, we possibly will say, with the purpose of it still keeps certainty. We encounter with such traditional definitions of finances, with no an adjective "socialistic", in the avant-garde economical literature. We possibly will dedicate such an explanation: "finances stand in for cash income of production and habit, plus cash relations appeared in the process of distributing standards of formed economical result and state-run wealth in support of formation and extra production of the cash incomes and savings of the economical subjects and state, rewarding of the workers and satisfaction of the social requests". In this explanation of finances like D. S. Moliakov and V. M. Rodionov's definitions, following the traditional inheritance, we encounter with the widening of the pecuniary foundation. They disturb "distribution and redistribution of the price of bent economical result, plus the partial distribution of the price of state-run wealth". This most recent is very definite, relatively to the process of privatization and the transition to privacy and is periodically used in practice in altered countries, in support of illustration, Great Britain and France.
"Finances - are cash sources, pecuniary income, their creation and movement, distribution and redistribution, habit, plus economical relations, which are conditioned by intercalculations flanked by the economical subjects, movement of cash sources, money exchange and usage".
"Finances are the scheme of economical relations, which are connected with multinational creation, distribution and habit of pecuniary resources".
We encounter with definitely innovational definitions of finances in Z. Body and R. Merton's basis manuals. "Finance - it is the science approaching how the group have an advantage expenses `the debit cash income and incomes in the definite epoch of period. The pecuniary decisions are characterized by the expenses and incomes which are 1) separated in period, and 2) as a power, it is out of the question to take them into bank account beforehand neither by individuals who persuade decisions nor a few other person" . "Financial theory consists of records of the conceptions... Which learns systematically the subjects of distribution of the cash income relatively to the period dynamic; it plus considers quantitative models, with the help of which the estimation, putting into practice and realization of the alternative variants of all pecuniary decisions take place" .
These basic conceptions and quantitative models are used next to all level of getting pecuniary decisions, but in the most recent definition of finances, we encounter with the following doctrine of the pecuniary foundation: Most important function of the finances is in the satisfaction of the people's wishes; the subjects of economical activities of a few kind (firms, plus state organs of all level) are directed towards fulfilling this basic function.
For the goals of our monograph, it is weighty to compare well-known definitions approaching finances, character and investment, to decide how and how much it is workable to integrate the finances, reserves and character into the solitary add up part.
Some researcher phenomenon with the purpose of character is the consisting part of finances, if it is discussed from the sit of essence and type. The other, more numerous assembly proves, with the purpose of an economical type of character exists counterpart to the economical type of finances, by which it underlines unfeasibility of the credit's existence in the consistence of finances.
N. K. Kuchukova underlined the independence of the type of character and remarks with the purpose of it is simply its "characteristic star the crooked movement of the price, which is not allied with transmission of the give somebody an advance of opportunities concurrently with the owners' rights".
N. D. Barkovski replies with the purpose of functioning of money bent an economical basis in support of apportioning finances and character as an on your own type and gave enlargement to the character and pecuniary relations. He noticed the Gnoseological roots of science in money and character, as the science approaching finances has problem with the examine of such economical relations, which lean ahead cash surge and character.
Let's discuss the the majority unfold definitions of character. In the avant-garde publications character appeared to be "luckier", so therefore finances. For illustration, we encounter with the following definition of character in the finance-economical dictionary: "credit is the give somebody an advance of in the form of cash and commodity with the conditions of inveterate, as a rule, by paying percent. Credit represents a form of movement of the give somebody an advance of resources and expresses economical relations flanked by the creditor and borrower".
This is the traditional definition of character. Taking part in the earlier dictionary of the cutback we read: "credit is the scheme of economical relations, which is formed while the transmission of cash and material process into the temporal habit, as a power under the conditions of inveterate and paying percent".
Taking part in the guide of the opinionated cutback available under reduction of V. A. Medvedev the following definition is specified: "credit, as an economical type, expresses the bent relations flanked by the society, labour collective and workers for the period of formation and habit of the give somebody an advance of funds, under the expressions of paying donate and inveterate, for the period of transmission of sources in support of the temporal habit and accumulation".
Credit is discussed in the following way in the earlier education-methodological manuals of opinionated cutback: "credit is the scheme of money relations, which is bent in the process of using and mobilization of in the short term limitless cash process of the state financial plan, unions, manufactures, organizations and population. Credit has an objective character. It is used in support of on condition that widened extra production of the state and other needs. Credit differs from finances by the inveterate character, while financing of manufactures and organizations by the state is fulfilled with no this condition".
We encounter with the following definition if "the track of economy": "credit is an economical type, which represents relations, while the separate business organizations or people transmit money process to each-other in support of temporal habit under the conditions of inveterate. Establishment of character is conditioned by a historical process of fulfilling the economical and money relations, the form of which is the money relation".
Following scientists dedicate to some extent altered definitions of character:
"Credit - is a give somebody an advance of in the form of money or commodity, which is specified to the borrower by a creditor under the conditions of inveterate and paying the percentage rate by the borrower".
Credit is giving the temporally limitless money sources or commodity as a debt in support of the defined expressions by the outlay of fixed percentage. Thus, a character is the give somebody an advance of in the form of money or commodity. Taking part in the process of this loan's movement, a definite relations are formed flanked by a creditor (the give somebody an advance of is specified by a juridical of real person, who gives convinced cash as a debt) and the debtor.
Combining all definition named exceeding, we get nearer to an indication, with the purpose of character is giving money resources of commodity as a debt, in support of convinced expressions and material provision under the outlay of multinational percentage rate. It expresses definite economical relations flanked by the participants of the process of resources formation. Necessity of the character relations is conditioned, from solitary margin, by gathering solid quantity of in the short term limitless money sources, and from the go along with margin, existence of wishes of them.
Though, next to the same period we be obliged to distinguish two resembling concepts: Give somebody an advance of and character. Loan is characterized by:
O Here, the talk possibly will touch a chord ahead transmission of money and plus things form solitary margin (loaner) to any more (borrower): A)under the owning of the borrower and, next to the same period, b) under the conditions of inveterate same amount or same quantity and quality of the things;
O The loaning of money possibly will bear veto profit;
O Any person possibly will take part in it.
With the difference with give somebody an advance of, character, which is by hook or by crook a not public occasion of the give somebody an advance of, represents:
O One margin (loaner) gives to the go along with solitary (borrower) simply money, and _ in support of temporal habit;
O It possibly will not bear veto profit (if the assignment doesn't foretell something);
O taking part in it creditor is not a few person, but a character organization (at the firstly place, banks).
So, a character is the turn character. To our mind, it is not correct to employment "credit" and "loan" as the synonyms.
Banking crediting is the union of relations flanked by turn (as a creditor) and its borrower. These relations touch a chord ahead:
A) Giving a convinced amount of money to the borrower in support of definite resolve (though, we encounter with the so-called limitless credits, aims and objects of crediting are not appointed in the assignment);
B) Its opportune inveterate;
C) Getting percentage rate from the borrower in support of using the sources under his/her disposal.
The essential foundation of the character essence and its weighty element is existence of trust flanked by the two sides (in Latin "credo", from which comes the word "credit", process "trust").
From the sit of exchange of money forms (in the abstraction, historical process of formation economical relations and social financial plan and banking systems uttered by them) comparing altered definitions of finances and character, the paradox conclusion appears: Character is the not public occasion of finances. And sincerely, from the sit of movement of the money forms, finances stand in for the process of formation and habit of the funds of cash process. Very often such arrangements are fulfilled with no inveterate, but every so often, it is workable to dedicate loans from the financial plan in support of the investment projects of other needs. Also, what time a manufacture or corporations employment their cash funds and we mean the finances of business area under discussion, such habit possibly will be realized as inside the manufacture or corporation (there is veto area under discussion approaching inveterate or not inveterate of the usage), so gratuitous under conditions of inveterate. This most recent is called infomercial form as of transmitting the sources to others, but even in this occasion, it is the element of pecuniary scheme of the manufacture and corporation.
From the place of cash process movement, most important character of character is the process of formation and habit of the funds of cash process under the conditions of inveterate and, as a power, taking the value-percentage. If gating the character price doesn't take place (even in the exceptional occasions), according to the movement form, character becomes a not public occasion of finances, as from the disposable pecuniary funds (consequently from the state budget) the loans which bear veto interests possibly will be used. If gating character price takes place, by the outward show form, character is discussed to be pecuniary modification.
From the historical place of look at, finances (especially in the sort of the state budget) and character (beginning with usury, soon after infomercial and banking) were increasing differently in support of in view of character to be the part of finances. Though, from the genetic-historical place of look at, preceding loaners, ahead of giving give somebody an advance of, wanted gathering the undying resources not inveterate, with the purpose of is the disposable pecuniary foundation. The banks analogously wanted concentration of the weighty own resources in support of influxing the consumers' process and in support of getting top percentage rate under the conditions of inveterate. Herewith, exactly on the pecuniary basis, in the sort of pecuniary endowment (which soon after moderately becomes give somebody an advance of fund) part of the turn resources appears to be the reservation (insurance) part of the endowment, which by nature is pecuniary and not give somebody an advance of. So notwithstanding the essential distinctions flanked by finances and character form the genetic-historical place of look at, character appears to be formed from finances and stand in for their modification.
From the essential sit of expressing economical relations of finances and character, we encounter with cardinal distinctions flanked by these two categories. Which mostly uttered by the distinction of the movement forms notwithstanding they are returnable or not. Finances express relations in the aspects of distribution and redistribution of social result and part of the state-run wealth. Credit expresses distribution of the appropriate price simply in the section of percentage specified in support of give somebody an advance of, while according to the give somebody an advance of itself, a simply a temporal distribution of money sources takes place.
Herewith, in attendance is a luck of collective flanked by the finances and character as from the essential place of look at, so according to the form of movement. At the same period, in attendance is a important distinction flanked by finances and character as in the essence, so in the form too. According to this, in attendance be obliged to be a kind of by and large economical type, which will consider finances and character as a add up unity, and in the bounds of this type itself, the separation of the given essence of the finances and character would take place.
Funding of the cash process is collective to the researched economical categories. It takes place in a few separate scheme of finances and character, which control been touched ahead for the period of the analyses of important finances and character. Word combination "funding of the cash sources (fund formation)" reflects and defines exactly essence and form of economical type of more universal character, individuals of finances and character categories. Though in the in economical texts and practice, it is very uncomfortable to employment a termini, which consists of three language. Also, "unloading" with an in a row hardens greatly its influxing into the exchange even in the conditions of its strict substantiation and thoroughness.
Taking part in the discussing context we consider:
1) extensive and narrow understanding of economical type of the finances;
2) discussing finances in narrow understanding under universal traditional denotation;
3) discussing finances, as funding of the cash process, in extensive understanding, which concerns finances - in narrow denotation and character - in complete denotation.
Termini "funding" and its equivalent "fund formation" are used by us as the persistent structuring of cash process, which is based on two poles - accumulation of money sources (gathering) and its habit in support of definite resolve in the way of financing and crediting.
We control established a contemporary termini - "finance-investment sphere" (FIS). Analyses approaching interrelation of finances and character made by us dedicate us an opportunity of proving, with the purpose of in the specified termini, the word "financial" is used with the denotation of funding cash sources, its persistent structuring. Taking part in this process we consider next to the same period pecuniary, character and investments' economical categories.
Let's sum up center results of discussing contemporary notion - "finance-investment sphere" and discuss its investment consisting parts.
The notion "investments" was brought into the native economical science from the West. Taking part in the Soviet economical science they in support of a long period used in the place "investments" the termini "capital placement", which uttered the habit of the business factors in the sphere of real business activities for the period of realization of resources projects. From solitary glance, this termini in its notion is identical to the "investments", consequently it is workable to employment them as synonyms. Though the termini "investments" and "investing" control the pro towards the termini "capital placement" from linguistic and philological points of look at, as they are uttered with solitary word. This is not simply economical and comfortable in the process of working with the termini "investment" itself, but plus it gives an opportunity of termini formation. Supplementary concretely: "investment process", "investment domain", "finance-investment sphere" - all these termini are much more acceptable.
Changing native economical termini with foreign ones is persistent, if it really matters (by keeping counterpart habit of the native termini in support of the inheritance). Though we be obliged to not trade native economical termini into foreign ones all concurrently, what time by ordinal traditional language relaxed to explain not public and narrow distinct processes and elements persuade their own termini. The "movement" of these termini is permitted in the narrow expert bounds, but their "spitting out" into the economical science possibly will bend economical language into the tangled slang.
Let's discuss termini - "investment" and "capital placement's" habit in the economical literature.
Investments are placement of funds into the most important and exchange resources in support of the resolve of getting profit. "Investments in material assets - are the placements of funds into the mobile and real estate (land, buildings, furniture and so on). Investments in pecuniary assets are the placements of funds into the securities turn accounts and other pecuniary instruments".
We don't encounter with the termini "investments" in the earlier economical dictionary, but we encounter the combined termini "investment policy" - the union of the business decisions, which warranty most important orders of the resources reserves, the activities of their concentration in the determinant suburbs, on which the feat of considered duty of development of the society production is depended, balancing and effectiveness, getting more and more production and profit of the state-run profits in support of all lost Ruble". For these days, in the the majority definite definitions, the resources reserves are encircled simply by pecuniary process, what time not simply pecuniary, but plus the investment of natural, material-technical and informational income takes place. Labour income take an definite place in the investment process. They themselves implement this or with the purpose of investment process.
A activist margin of the discussed definitions is with the purpose of they tie investment procedure and resources placements (investments):
- economical development according to the fundamental orders to the concentration;
- on condition that superior duty of economical growth;
- raising an economical effectiveness, which is uttered:
A) by growing the toss sour of the production and state-run profits in support of all lost Ruble;
B) by fulfilling the branch arrangement of the reserves;
C) by civilizing their technological arrangement;
D) by optimization of their extra production arrangement.
Compared with such definition of the reserves (capital placement) the definition of reserves in the dictionary attaching the "Economics" seems to be unimproved: "investments - the expenses of gathering production and business process and increasing material reserve". Taking part in this definition current expenses (production expenses) are miscellaneous with the investment (capital) expense. Also, not the investment expenses but (though the reserves are followed by the appropriate expenses) exactly advancing. It differs from the expenses by with the purpose of the process (means) are set by inveterate the later standards, plus, under the conditions of growth, to which the concept-advanced resources is corresponding. The advancing possibly will be realized in the money, natural-material and informational forms.
Except the termini "investments", in attendance are two more termini allied with the investment. They are made known under.
"Human resources investment" - a few action provided in support of rising the workers labour productivity (in the way of growing their qualification and increasing their abilities); next to the expenses of civilizing the workers' education, wellbeing and raising the mobility of the working forces". It is very nifty to employment the mentioned termini, though it needs solitary correction: The human being resources reserves figure out not disturb simply workers, but plus the servants, representatives of all kind of labour.
"Investment commodity, resources goods - a resources."
Taking part in the legitimate manuals of opinionated cutback of the improvement period the resources reserves are discussed as "expenses in support of creating contemporary most important funds and widening, modernization and renewing the operating ones". Taking part in this definition the reserves (capital placements) for the period of separation of the forms (types) of extra production of the most important funds are encircled simply by most important funds (without increases of the exchange funds and insurance reserves):
A) creating contemporary ones;
B) widening;
C) modernization;
D) renewing.
Also, the notion of the business gathering appears, next to the expenses of widening of basic, exchange funds and plus insurance funds takes place".
You'll encounter under the definitions of reserves from "the track of economy": The reserves are called "placements of endowment into the basic resources (basic process of production), funds, plus other economical objects and processes, which call long-termed influxing of material and cash process. "According to the division of resources into real and money forms, the reserves too be obliged to be alienated into material and cash investments".
They assign investment commodity, to which feel right business and nonindustrial building objects, vehicles purposed in support of changing or widened technical commons and the furniture, increasing funds and others.
"They call the add up reserves of production an investment result, which is directed towards keeping and increasing the basic resources (basic means) and reserve. Total reserves consist of two parts. One of them is called the decrease; it represents weighty investment income in support of compensation of renewal dig the level of ahead of business habit, wearing not at home and repairing of the basic process. Second consisting part of the add up reserves is represented by disposable reserves - resources reserves in support of the resolve of increasing basic means". Depreciation is not a compensation resource of wearing the basic funds not at home, but it is the persistent pecuniary source of such income.
Human resources investment is "a given kind of reserves, mostly in education and wellbeing protection".
"Real reserves are the reserves in the economical brushwood and plus, they are kinds of economical activities, which provide influxing the increases of real resources, with the purpose of is increasing material standards of the business means". We can reach agreement with such definition with solitary specification with the purpose of material and nonmaterial standards too feel right to the real resources (wealth), consequently science-researching experimental-construction results, various in a row, education of he workers and others. Such service as organization of the emotional games, plus the service of redistribution social wealth from solitary not public person to any more (except charity).
"Financial reserves stand in for placement of funds into the shares, obligations, promissory remarks, other securities and instruments. Such reserves, of track, figure out not dedicate increases of the real material resources, but they help getting profit, consequently next to the expenses of changing the track of the securities in the period of speculation, or distinguishing the track in altered sitting room of promote and purchasing". We share wholly such definition, so it follows with the purpose of pecuniary reserves (if it is not followed by real reserves as a result) figure out not expand real material wealth and real nonmaterial wealth. According to this context, the air under is very weighty: "we be obliged to distinguish pecuniary reserves, which stand in for placement of the funds in the ways of advertising and purchasing the securities in support of the resolve of getting profit and pecuniary reserves, which befall cash and real, motivated to real real resources."
Taking part in the "economical course" quoted ahead of long and short-termed reserves are separated. Recognizing the existence of the bounds flanked by them, the authors blame on short-termed reserves to "one month or more" reserves. If we persuade such conditioned criteria, with the purpose of we can call the reserves which overcome the expressions of a number of months, long-termed ones, which is very shaky and we don't reach agreement with it. A long-termed character of the endowment placement is a important star of the reserves (short-term doesn't bloc with the notion of investments). Principally, it would be better to place not at home quick compensative, center termed compensative and long-termed compensative reserves:
- with a reduction of so therefore 6 months - quick compensative;
- from 6 months up to the day and a partially - center termed compensative;
- more so therefore the day and a partially - long termed compensative.
We stopped next to the definition of the reserves in the resources piece "economical course" in support of the special resolve, as, in it the author tried to discuss the notion of reserves systemically and quite completely, with this the paperback is available merely without hesitation.
We'll return to the talk the definition economical type of "investments" in altered publications in the following phase. The definitions specified now are quite a sufficient amount in support of having a notion of the level of lighting up the specified type in the economical literature.
What conclusions possibly will be made according the definition of the mentioned economical type in the available factory, except for the made notions and specifications?
There is quite greatly, concretely and in detail defined the notion of "investments", altered definitions in the economical literature; but mostly in all factory approaching the reserves discussed by us until without hesitation, in attendance is not opened the essence of reserves as an economical type. Taking part in all monograph , even if it has a title investment, as an economical type , in attendance is specified simply the definition, notion of reserves. But, as the Academician Vasil Chantladze explains, "a notion is a talk, which proves something approaching the distinguishing star of the researched object. A notion not at home of much essential characteristic skin tone represents simply solitary, and essential in it is simply - definition".
But the categories are much wider; it is "a fundamental, the the majority fundamental notion of all science". Economical categories theoretically stand in for real, independently existed productive relations. A type is the important of occasions of existed typeset, family, relations of the objective earth. Generally, a few edifying process is fulfilled by the categories, which dedicate opportunities in support of in-between the processes and occasions semantically, in support of expressing the definitions of a area under discussion and realize their given peculiarities and economical relations of a material earth.
Our goal is exactly to substantiate reserves - as an economical type and plus, as a pecuniary type in the narrow understanding.
Here we apply in support of any more guide thesis made by the academician Vasil Chantladze: "every pecuniary relation is an economical solitary and all pecuniary type is and economical solitary, but not all economical relation and economical type is pecuniary relation and pecuniary category".
Taking part in the process of important the reserves, it is weighty to take in mind the sides of income, expenses and incomes, as investment, from solitary margin, is the end result of the manufacture's action, and, from any more solitary, - a part of profits, which, in this set of circumstances, is not used in support of habit.
Another occasion: It is advisable to discuss reserves in two aspects: As a type of reserve and surge, which will cogitate exactly the connection flanked by "placement of funds" and "investments".
Since we've mentioned exceeding, not long since, in the well-known Soviet literature the concepts of "the placement of funds" and "investments" were normal to be the synonyms and concerned to be investment of sources in support of extra production of the most important funds and formation of the earnings funds. We encounter with such understanding of the notion of "investment" (here, they separate three types of the investment expenses: Reserves in the basic resources of reserves, reserves in the dwelling building and reserves in the reserves) in the avant-garde economical publications and it is mostly used on the macro level for the period of a algebraic examine of economical processes. Taking part in this distinct occasion investment is the type of reserve.