THE DETERMINERS OF THE MARKET- A PRIMARY FACTOR OF THE FUNCTIONING OF THE MARKET

We intend to develop a new approach of the economic cycle so that we are able to find the factors the lay at the bottom of the functioning mechanism of the market. According to our vision they are “animal spirits”, chance/ unpredictable, trust/ mistrust, regulation/ deregulation. In order to understand the mechanism of occurrence and absorption of the economic crises the model that we elaborated aims at obtaining equilibrium among the primary factors of the functioning of the market. In this fine balance the economic agent is the common tool of all determiners. In the macroeconomic models one should consider the moral, the psychological and the sentimental components.