EXOGENOUS DETERMINANTS OF THE ECONOMIC SECURITY OF THE COUNTRY IN CONDITIONS OF GLOBAL VOLATILITY

Abstract

The article focuses on examining specific factors that influence the economic security of countries in the face of increasing global volatility. It explores the essence of exogenous factors, such as international trade, foreign investments, and international financial markets, and their impact on the state of economic security. The analysis considers the effects of current geopolitical changes, macroeconomic shocks, and crisis situations on a country’s economic stability. The importance of developing risk management strategies and diversifying risks to maintain an appropriate level of economic security in an unpredictable global environment is emphasized. The article also highlights the significance of developing adaptation and reserve mechanisms, as well as implementing prudent risk management practices, to ensure the stability of a country’s economic system. Based on the identified determinants, several proposals are put forward regarding the need for regulatory political and economic measures that can enhance a country’s economic security in modern conditions. The constant growth of interdependence in international markets, capital mobility, and the expansion of foreign trade volumes present new challenges and threats to the economic stability of countries. Exogenous determinants, which are external factors beyond the direct control of the state, have a significant impact on economic security. The current environment of global volatility, including financial crises, trade conflicts, unpredictable changes in global commodity markets, and major shifts in the geopolitical sphere, greatly affect economic security. These factors can lead to economic disruptions, reduced production, increased unemployment and inflation, disruptions in financial stability, and generate additional threats to socio-political stability. Therefore, understanding exogenous determinants and their influence on economic security is crucial for developing effective risk management strategies and ensuring the stability of a country’s economy.