Entropy approach to understanding the nature of loan interest

The article examines the existing theories of loan interest, their advantages and disadvantages. The general features and differences in the existing theories of interest are revealed. The author's classification of theories of loan interest is given. The applicability of the entropy approach to substantiating the essence of interest is substantiated. The objective entropy essence of loan interest as an instrument for regulating entropy in the economy is revealed. An explanation of the functions of loan interest from the point of view of the entropy approach is given. The phenomena of loan interest in the economy are considered and explained from the point of view of the entropy approach. The existing theories of loan interest are considered as special cases of the entropy approach to its understanding. The admissibility of loan interest as an effective instrument for achieving competitiveness within the framework of economic evolution is substantiated. Recommendations are given for regulating loan interest taking into account its entropy essence.

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