# A comprehensive theoretically balanced and practically achievable model of a universal macroeconomic system

Authors:
Abstract:

Numerical indicators of the level and pace of economic and social development are essential for evaluating the effectiveness of a country’s economic policy, its subsequent changes, and overall management of social development. The Samuelson model, most common among economists, establishes supposedly direct links between large amounts of savings and the corresponding consumption level, the economic law of increasing additional cost, decreasing the efficiency and performance/yields, economies of scale, etc. The development of modern developing and developed economies often contradicts this model of economic choice. The author’s model, which is close to the interpretation of the ‘econophysical’ direction in modern economic theory (the Carnot cycle in thermodynamics), implies that the specific amount of state expenditure and investments obtained by the economic system should ideally (in case of ‘zero-losses’ of the maximum possible public efficiencies of state spending and investments) lead to the maximum possible rate of economic growth. The result of the balanced open economy model developed by the author is in overcoming the barrier of the alleged lack of quantitative constants in an economic system, which makes it drastically different from physical systems (the author is fully aware of the system’s limitations: the irreducibility of social progress and human development to increasing the income or augmenting material wealth, or economic growth rates). In our opinion, the comprehensive macroeconomic model proposed above should allow, following its introduction into the preparation, negotiation, approval and implementation of budget analysis by the corresponding government authorities, to ‘consciously’, instead of blindly, scientifically substantiate and strictly control the efficiency of the directions of macroeconomic development, and their deviation from the ideal.