Moguća antiinflacijska politika u samoupravnom sistemu
Possibilities of Implementation of Anti-Inflationary Policies in the Self-Management System

Summary/Abstract: Giving the alarming rate of inflation in Yugoslavia, the author asks: what can be done? The starting premise is that the market is unable to balance the economy and stabilize the prices on its own, unless economic policies can ensure, previously or simultaneously, a tolerably well-balanced distribution of income and ownership. In his outline of anti-inflationary policies the author focuses on a number of issues: first, the greater importance of the level of income and its distribution than of the effects of price changes (demand and costs); secondly, the effects of distribution are inseparably linked with investment problems. A system of measures and instruments of economic policy designed to enhance the reproduction of resources should be implemented, especially planning, a minimum capital accumulation rate; and an adequate depreciation and valorization of social resources. Fundamental changes should be introduced in the status of banks and the role of credits. The third mechanism of the anti-inflationary policy is the price mechanism. Free prices safeguard the basic interests of the members of the society. The author also considers the role of money in inflationary trends, of interest rates, exchange rates, taxes and levies, and of indexing. In conclusion, the suggestion is made that at present the problem of political institutions takes precedence over economic measures and of the available instruments wherewith to curb inflation.

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