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Money and credit - Ivanov V.М.
As is known, a loan arises in the sphere of exchange, where the creditor and the borrower enter into a relationship regarding the return motion of the loaned value. With the help of credit, the values are redistributed. At the same time, credit relations are mediated not by all redistribution processes in the society. A significant part of the monetary resources is redistributed, for example, through the financial system and the pricing system. However, the redistributive function of credit inherent features that distinguish it from the redistributive function of other economic categories and characterize the specific nature of credit redistribution.
The purpose of this function is that by means of a loan at the expense of temporarily free resources of certain legal entities and individuals, temporary needs in the funds of other legal entities and individuals are met. The peculiarity of credit redistribution is, first of all, that it covers only temporarily free resources. True, with a commercial loan, there is no preliminary release of resources, but in this case, the granting of a loan is possible only if the creditor has available funds, and in their absence, the possibility of borrowing them on a returnable basis. Consequently, there is a secondary distribution of resources, that is, the implementation of the redistributive function of the loan.
This feature determines the wide scale of the redistribution of funds through the credit sector, since it covers almost all temporarily free funds of the public economy. The volume of credit resources by potential significantly exceeds, for example, the amount of resources redistributed through the budgetary sphere. In addition, the repayment of credit resources allows them to be repaid over a given period, which extends the lending capacity. This provides a generally significant availability of credit in comparison with budgetary funds. The advantage of redistribution through credit is also the speediness of the provision of funds, while the allocation of budget resources is determined for the entire calendar period when planning the budget.
A feature of credit redistribution is the satisfaction of only a temporary need for additional funds, when the redistributed value is received by the borrower only for a certain period of time.
The specificity of redistribution through credit is that it affects not only the value of the gross national product produced in a given period, but also the value of the means of production and consumer goods created in previous periods. In particular, temporarily free resources accumulated in the depreciation funds of enterprises can be issued on credit; Distribution of temporary use of previously produced equipment on a lease basis was extended. In fact, all national wealth of the society can be included in the process of redistribution through the credit sphere, in contrast, for example, from redistribution through the state budget.
A characteristic feature of the redistributive function of credit is that it redistributes not only monetary resources, but also commodity ones. In the form of goods are expressed commercial and leasing loans, partly consumer credit and international. The ability to provide credit in a commodity form significantly expands the boundaries of redistribution through the credit sphere.
Redistribution with the help of credit is mainly productive, that is, the redistributed value is included in the economic turnover of the borrower. This feature is due to the essence of the loan, as a return. In order to be able to return the loaned funds on time and with the payment of loan interest, the borrower must use the funds received as efficiently as possible, investing them in the reproduction process of increasing the cost.
As a feature of the redistributive function of credit, it is possible to identify basically the direct character of redistribution. Credit transactions are made in most cases without intermediaries, the lender and the borrower directly contact each other.
The redistributive function covers various aspects and levels of movement of the loaned value. So, redistribution can occur between separate territories. Subjects participate in a loan transaction regardless of their location. In this regard, credit resources mobilized in one area, the region, can be used for lending in another area, the region. In this case there is an interterritorial redistribution.
If credit resources are formed at the expense of temporarily free funds of enterprises of certain industries, and then used for lending to enterprises in other industries, then there is an intersectoral redistribution. In conditions when bank credit is the main form of credit, intersectoral redistribution is most characteristic for the credit sphere. Commercial banks, having the right to freely select customers, accumulate temporarily free funds of enterprises regardless of their departmental affiliation, and these funds are depersonalized in the aggregate mass of the bank's credit resources. Lending to enterprises of a certain industry is carried out through the same impersonal means. At the same time, the volume of credit resources mobilized in this industry and the volume of credit investments in it, as a rule, do not coincide.
At the same time, credit relations can also serve as a basis for intra-industry redistribution. In particular, if the bank specializes in servicing enterprises of one industry (it is sectoral), the resources redistributed to them will be redistributed only within this sector. Intra-sectoral nature of redistribution is also the case if the loans received by industry associations are distributed on the basis of returnability between their structural units that do not have the status of a legal entity.
Previously, credit relations did not cover the intraeconomic redistribution of resources, but at the present time prerequisites are created for its partial mediation by credit. The emergence of market relations determines the commercialization of enterprises, their striving for maximum profitability and, consequently, production efficiency. The allocation of structural units of enterprises with real self-supporting rights creates a basis for the redistribution of funds between them on a credit basis. The conditions for intraeconomic redistribution of funds through a loan are also created in the case of the placement of shares of enterprises when they are corporatized among their employees and the use of the means mobilized for the development of production.
The emergence of market relations causes a change in the mechanism for implementing the redistributive function of credit. Until recently, the redistribution was mainly centralized, that is, it was based on credit planning, which was a process of planned determination of the total volume of the country's credit resources, their sources, as well as planned redistribution. With the reform of the banking system, the development of the commercial banking network, an increasing role is played by the redistribution of credit resources through the credit market, i.e., the market mechanism of redistribution. In this regard, credit redistribution is increasingly decentralized. Accordingly, its priorities change.