Wartime economics: challenges and rapid economic policy

The article provides an overview and reflection of quick decisions on economic policies in Ukraine under wartime conditions. The author defines the theoretical and historical background of wartime economy, as well as its content and tasks. Presented various historical examples of the consequences of wars on the economy and its post-war recovery. It is found that in addition to the fact that wars have negative consequences for physical and human capital, they may also speed up economic growth after the war due to the change in economic environment. The author provides a brief analysis of economic policies in the wartime economy of Ukraine, challenges and quick decisions in fiscal and monetary policy, human capital preservation policy, energy policy and regulatory policy of coordinating processes during the war. There is an analysis of proposed changes to the tax legislation, and monetary decisions during the war and other steps taken by the government and the NBU to support the economy in the conditions of war shocks. The acuteness of the demographic challenge for Ukraine due to the loss of human capital and forced emigration is demonstrated. Presented various macroeconomic data on GDP decline during the war, losses, inflation, international aid by donors, which contributes to critical review of the quick economic policy decisions taken. The author undertakes a theoretical generalization and outlines the key challenges for the post-war reconstruction of Ukraine and quick decisions, which topics are among the subjects of discussions on international platforms, as well as objects for analysis in search of ways and means of international partnership support. The differences between rapid and adequate economic policy are shown.