Despite the slowing down of industrial development in Ukraine due to the influence of many factors, industry remains the leading form of economic activity. The need for further reformation of this sector of the national economy in order to ensure its competitiveness in the context of strengthening globalization processes requires new analytical assessments and the development of relevant proposals in this direction. The purpose of the article is to determine the key trends in the development of the industrial sector of Ukraine’s economy through the prism of the activity and efficiency of its functioning. In accordance with the author’s methodical approach, the evaluation was conducted by a set of indicators characterizing production, export, investment, capital and innovation activity, as well as resource and economic efficiency. According to the results of calculating of these indicators’ values, it was found that in 2016 the overall level of activity and efficiency of functioning of the industrial sector of the national economy increased after its sharp decline in 2013-2015. The growth of values of such indicators was achieved: the share of industrial output in the volume of sales of products (goods and services); the rate of growth of non-current assets and capital investment in industry; the share of enterprises that introduced innovations in the total number of industrial enterprises; share of expenses on innovations in the total volume of capital investments; return on assets, productivity, profitability of operating activities. Instead, the values of such indicators as the growth rate of the volume of industrial products sold, the share of non-current assets in assets, the share of industry in total volume of foreign direct investment, the growth rate of foreign direct investment in industry, the share of industrial goods in the total exports of goods and services and the share of exports in the volume of industrial sales have decreased. Consequently, in Ukraine there are two negative trends in the development of industry: the reduction of direct foreign investment and the gradual loss of positions in commodity exports. A number of measures have been proposed to overcome them, in particular in the following areas: increasing the attraction of foreign direct investment to industry (expanding the access of industrial enterprises to foreign investment resources, raising the level of awareness of foreign investors regarding potential investment directions in Ukraine); increase of export potential of industry (stimulation of export activity of subjects of the industrial activity, creation of a parametric register of strategic exporters for forecasting flows of the commodity exports, diversification of commodity structure of export and its balancing by the countries-trade partners of Ukraine).
The article researches certain aspects of preparation and holding of international project regarding hosting the final games of 2012 European Football Championships in Ukraine, which concerns various spheres of national economic activity: construction, various services, security, communications, logistics, etc. The problems of current condition of infrastructural objects constructed or renovated for Euro 2012 are outlined, analysis of their impact on the development of regional economy is conducted, and capacity created to hold the Championships and still used at the territories and in the branches according to its functions is evaluated. Hosting the 2012 European Football Championships in Ukraine, which was one of the first international events of the kind, has successfully ended. However, there is still the range of unsolved problems, which turn out to be more urgent as the time passes. They slow down the dynamic development of enterprises, which should have been functioning efficiently after the Euro 2012. It concerns the facilities, which were put into service for various reasons in the first stage of construction before the Championships, enabling holding the matches, but to date in six years these enterprises have been conducting their activity on the basis of capacities not put into service according to current legislation. The problem of second stages of construction not put into service and current condition of their exploitation is examined on the example of Public Enterprise «Arena Lviv» and Public Enterprise «Danylo Halytskyi International Airport Lviv» on the basis of 2015-2017 financial accounts. Analysis of certain parameters shows positive and successful activity of Lviv Airport, testifying to high efficiency of reconstruction and expansion of the enterprise, as well as social nature of the project of stadium «Arena Lviv» construction. It is currently the base for athletes’ Olympic preparation and is planning the breakeven activity, but in fact is operating at a loss. The mechanisms and ways to overcome the problems of efficient management and development for the abovementioned enterprises are suggested, including in the first place the issues of putting into service the complete complex of facilities according to projects, transfer of Public Enterprise «Arena Lviv» to communal ownership of the city or oblast and concessioning on the basis of public and private partnership.
2012 European Football Championships, infrastructural objects, public and private partnership, public enterprise, Arena Lviv, Danylo Halytskyi International Airport Lviv
The formation of models for the establishment of the system for ensuring economic security of the state is influenced by a combination of factors, among which, in particular, the geopolitical position of the country in the world and the region, the level of development of the national economy and productive forces, existing property relations and the efficiency of market mechanisms, natural resource, technical and innovative potential of the state, etc. The processes of financial-economic and informational globalization, manifestations of aggression by the leaders of the countries in terms of military, political, and economic potential have led to the formation and strengthening of the destructive effects of hybrid threats, which have critically worsened the dynamics of socio-economic development, aggravated macroeconomic imbalances and worsened short- and medium-term prospects for economic growth. The purpose of the article is to develop functional and structural tools for strengthening the state’s economic security in the face of hybrid threats. The article examines the state of economic security of Ukraine. Particular attention is paid to the factor of hybrid aggression, which has led to deterioration of quantitative and qualitative characteristics of economic security of Ukraine, in particular, reduction of volumes of industrial production and agroindustrial complex, devaluation of the national currency, increase of inflation rates and decrease of purchasing power of the population, deterioration of cooperative relations between the subjects of the internal market from the east and other territories of the state, complication of the financial condition of enterprises and investment attractiveness of territories, growing internal migration and deterioration of the labor market situation. The analysis of factors of strengthening of hybrid threats of economic security in the conditions of external military aggression is carried out, which are connected with the lack of effective structural reforms and institutional changes in the economy, other disadvantages of the state policy of ensuring the economic security of Ukraine, as well as the external military aggression in the Donbass, which led to increased political and economic instability, rising budget expenditures for army servicing, inflationary processes and macroeconomic crisis phenomena, aggravation of problems in the financial system of the state. The tools for minimizing hybrid threats to Ukraine’s economic security in the retail and consumer services sectors are grounded in order to address the problem of excessive import dependence and the problem of reducing the purchasing power of the population, removing imbalances in the development of the sectors of the real economy, removing economic obstacles and critical factors destabilizing the development of the domestic labor market, and, in particular, counteracting the smuggling of goods both at the uncontrolled territories of Donetsk and Lugansk and from there, to overcome the negative tendencies towards the deactivation of entrepreneurial activity.
economic security of the state, hybrid threats, hybrid war, external aggression, tools
The analysis of transport privileges decentralization in Ukraine in the conditions of current order of preferential transportation funding has been conducted; it is established that social responsibilities for transport privileges funding exceed the capacity of local budgets, and a practice of regional restrictions on transporting citizens of privileged categories is inconsistent with current legislation and violates the rights of benefit recipients. It is also established that the source of social benefits monetization funding in Ukraine, as well as of the statute-instituted and current social guarantees for preferential transportation in Ukraine has not been determined. The lack of responsibility for preferential transportation between central and local authorities deepens the crisis in municipal and commuter public transport in Ukraine. The analysis of the active mechanism of compensation calculation and payment to enterprise-carrier for transportation of preferential categories of passengers has been conducted; it is determined that the volumes for the preferential transportation services consumption in Ukraine have not been defined.The current state and modern development trends of the transportation by municipal and commuter public transport are established. The main problems of municipal and commuter public transport are determined. The level of excess of expense necessary to finance transport privileges over actual expense of the local budgets funds is determined. Theoretical and practical recommendations on maintenance of passenger traffic socio-economic efficiency by means of transport privileges have been substantiated. The necessity to legislatively provide local authorities with the sole right to establish transport privileges, categories of benefit recipients, regional norms of transportation services preferential consume, as well as criteria of particularly vulnerable citizens’ groups selection for the successful functioning of the mechanism of transport privileges monetization at the expense of local budgets funds has been emphasized.
privileges decentralization, monetization of privileges for the public transport use, funding of transporting citizens of privileged categories, local budgets
The comparative estimation of functioning of the industry in Ukraine and Poland in the period of 2011-2016 years is carried out. According to the results of the analysis, the predominance of the industrial sector of Polish economy (compared to the similar sector of Ukrainian economy), efficiency and innovation is explained. The ways of eliminating the weaknesses of the industry of Ukraine, in particular, in the direction of increasing financial-economic activity and the level of implementation of innovations in production, are offered. The most important competitive advantages of Polish industry were determined by the indicators of economic efficiency (profitability of operating activities, assets and turnover), resource efficiency (labor productivity) and innovation activity (the share of enterprises that introduced innovations in the total number of industrial enterprises, the share of implemented innovative products in the total volume of industrial production sales and the share of expenses on innovations in the total volume of capital investments).
industry, activity, efficiency, innovations, capital investment, industrial production
The article dwells on evaluation of the pace and role of targeted-program approach in the system of region’s social and economic development management and on defining of problematic issues in its application. The nature, meaning and major benchmarks of targeted-program approach to regional development management are examined. Legal and regulative foundations of targeted-program approach application in management of territory’s social and economic development are analyzed. The fact that the efficiency of regional development policy in Ukraine remains to be low despite the availability of the considerable amount of strategic, prognosis and program documents due to the lack of concrete hierarchy of strategic documents, single understanding of nature and designation of program documents, etc is proven. Special attention is paid to the problem aspects of application efficiency of targeted-program approach, including the following: considerable amount of programs; lack of programs’ diversity; poor level of funding and lack of funding of target programs; lack of clear system of evaluation and monitoring of their implementation and the relevant control for the quality of local programs on part of approving authorities and society; public access to information about programs is completely absent or fragmented, especially on the state of their implementation and level of their funding; not only state and local authorities but also economic entities, scientific organizations and NGOs have to participate in programs development. Analysis of the peculiarities of targeted-program approach application in social and economic development of Lvivska oblast is carried out, in particular regarding the number of operating programs in 2014-2017, their funding and implementation level. Experience of targeted-program management in developed countries of the world directed at solution of problems of regions’ economic development asymmetry, industry reconversion (reorientation), assistance to local initiatives in the less developed regions, industrial, rural, urban and border areas is analyzed. The ways to improve the efficiency of targeted-program approach application in territorial management to achieve positive social and economic effect are suggested.
targeted-program approach, management, oblast target program, financial resources, regional policy, program activities
The rapid development of decentralization processes in Ukraine puts a number of tasks to the scientists, especially the search for ways to improve existing models of management activity in the territories, in administrative-territorial entities, etc. World experience proves that the dynamic development of territories and the country as a whole cannot be ensured on a sustainable level without the decentralization of public administration, without the capacity of local self-government. Ukrainian local self-government has long faced challenges that cannot remain without an appropriate response. It goes about economically-financial insolvency of the vast majority of communities, actual absence of money in the budgets of development and investments in an infrastructure, in particular communal. In addition, all these problems first of all base on an imperfect normatively-legal base. Indeed, in order to achieve high results at the local level, a perfect legal basis and taking into account of regional specifics is necessary. In this article, the principles of organizational and resource support of the modern development of territorial communities are theoretically grounded. Different approaches to the essence of development of the United territorial communities are analyzed and all their features are determined. Several obstacles that exist in the process of achieving the goals of CTC are investigated. Special attention is paid to creation of public information system, which would stipulate free plan of local authorities’ inspections and measures of control for its accomplishment. The fact that respective authorities and public institutions should be attracted to this process to conduct independent monitoring of inspections’ efficiency is emphasized. The problems of functioning of the regulatory and legal support of territorial communities are considered, namely, most of the normative-legal acts concerning their influence on the functioning of the combined territorial communities are analyzed. The ways of financial support for the development of regions are shown and suggestions and recommendations for improving of local self-government functioning are formulated due to the increase of the level of normative and legal support for the development of territorial communities.
decentralization, territorial community, local self-government, socio-economic development, normative-legal support, legislation, administrative-territorial reform, institutional and organizational support
The article deals with scientific approaches to the nature and importance of the endogenously-oriented development of regions. The theories of regions’ economic development are analyzed and the main concepts concerning stimulation of their competitiveness are considered. The main theories of the endogenously oriented development of regions in terms of their scientific evolution are investigated. Various approaches to the nature, factors, character and forms of endogenously oriented development of regions are considered, with the help of which it is possible to improve the economic potential and improve the quality of life in the regions. The concept of economic growth and development is extended, as well as the diversity of formulations of differentiation of regions’ socio-economic development is considered. The evolution of conceptual foundations of endogenously-oriented development of regions is considered. The analysis of economic theories of endogenously oriented development allows to predict the creation of an effective mechanism for raising the levels of socio-economic indicators through the theories of cumulative and «dominant» approaches, the use of indicative planning and the development of public-private and other types of partnerships, on the basis of synthesis. The theoretical views of most neoclassicists, who deemed the path of economic development through the transfer of factors, are examined. Endogenously-oriented theories arguing that the use of internal potential of a regional economy contributes to a uniform economic growth due to the effect of production scale within the region, innovation and experience are outlined. The analysis of theories of regions’ endogenously-oriented development in the most significant theoretical concepts of endogenously oriented regional development is generalized. The importance of the ideas of theories of regions’ endogenously oriented development is considered, an attempt to trace the connection between the main results of theories is made. The main components of the endogenously-oriented development of regions are determined and systematized.
endogenous-oriented development, theory of placement, convergence theory, theory of regional development, concept of regional innovation systems, conditional convergence, sustainable development, region
One of the main strategic tasks of modernizing the territorial organization of power is the forming of effective local self-government. The key to successful implementation of the reform of local self-government and decentralization of power is the creation of united territorial communities. The effective functioning of the united territorial communities mainly depends on the financial, resource and institutional components. For Ukraine, the most acute problem is the loss of a human resource, which is actively diminishing due to the migration of labor abroad. Such a negative situation requires increased attention of local authorities to stimulation of entrepreneurship development. The article deals with the features of reforming the activities of state authorities and local self-government in the conditions of decentralization. The factors of formation of economically self-sufficient united territorial communities, in particular entrepreneurial activity, are determined. The algorithm of forming the potential of creating new united territorial communities in the Lviv region and the degree of dependence of the various factors on the basis of the regression model is constructed. The influence of lucrative enterprises and young people on the development and creation of new united territorial communities is highlighted. Therefore, stimulation of youth entrepreneurship should become a priority area for the development of the Lviv region. Among the instruments for promoting youth entrepreneurial activity, cooperation between state authorities, local self-government, educational institutions, large enterprises and financial institutions should be highlighted. It has been established that low living standards are the catalysts for the formation of new united territorial communities in the Lviv region, which make decisions to unite in new communities in order to improve the social and economic situation in their territory. Accordingly, an increase in the number of inhabitants and the expansion of the community increases the opportunities for the development of the area. The main source of filling local budgets of the community is tax revenues. In this case, the creation of new jobs, the use of existing and increased entrepreneurial potential will contribute to the successful reform of the territorial organization of power, the reduction of migration flows, and the development of infrastructure of the area. The consideration of social factors for the further research of forming of new united communities in the Lviv region is proposed.
decentralization, united territorial communities, sustainable development, entrepreneurial potential, bodies of local self-government, average monthly nominal wages
The paper researches the peculiarities of the processes of housing markets institutionalization in Ukrainian regions. The scheme of classification of housing markets’ sectoral structure by various criteria is outlined. Major stages of residential real estate markets development in Ukrainian regions in the context of forming of their institutional structures are analyzed, organizational-regulative, budget-financial and sociocultural problems of regional housing markets institutionalization in the country are emphasized and perspectives of their solution on the basis of forming of efficient institutional environment for housing market functioning at regional level are shown. The research aims to analyze the specifics of housing markets institutionalization in Ukrainian regions and to outline the problems and challenges of housing markets institutionalization in conditions of decentralization on this basis, as well as to provide suggestions to overcome them, including on the basis of improvement of institutional environment for functioning of housing markets in the country’s regions. Institutionalization of regional housing markets is the process of organic consolidation of economic actors operating at the markets in economic relations, their economic activity, collective and individual behaviour, certain institutes – rules, regulations and understandings on organization and conducting of market activity, increase of the frequency of these institutes’ application in economic practice and forming of consolidated institutes on this basis. In fact, institutionalization is the organization of institutions as institutes consolidated in the practice of regional housing markets activity. Institutionalization makes possible an efficient functioning of regional housing markets in a country. Under its influence, the market of residential real estate is settled as the powerful independent segment of regions’ economy. The following main problems are peculiar to institutionalization processes: frequent changes of «institutional field» of housing markets functioning at national level as well as significant differences between institutional regulators in various regions of a country; insufficient level of investment in market infrastructure of housing construction sphere and disproportions in regional perspective; poor level of budget and financial maintenance of forming of institutional structures supporting the development of housing markets in the regions of a country; lack of information maintenance of housing markets functioning in different regions of a country and low level of public society institutions’ impact in the sphere of construction business. Efficient institutionalization of housing markets in Ukraine will lead to more predictable and coordinated behaviour of market actors, because the system of institutions that will be formed as the result of these processes will provide order and subordination of the whole market relations system in the sphere of housing and construction economy.
residential real estate, regional housing markets, construction, institutionalization, market, region
The article deals with the problem of the impact of the economic stability of the holding on the development of the economy of the region. The expediency of formation of the regional timber industry holding is substantiated; the essence of this phenomenon is clarified. The content of the definition of economic stability of enterprises in the interpretation of individual scientists is given. The types of economic stability of the holding are determined. They are: industrial- technical (stability of the production cycle of the integrated association, coherence of its resource support), commercial (level of business activity, reliability of economic relations, competitive potential of the company), organizational (stability of the internal organizational structure, coherence and efficiency of the relations among the holding companies, among the separate departments and services of the enterprise, the effectiveness of their joint activity), innovative (the ability of the enterprise to adopt new technologies and methods of organization of production concerning the release of new products, the implementation of the innovative kinds of work or services), social (assistance in the raising of the level of social security of employees, involving the workers of the enterprise into the public processes, solving certain social issues such as trade union’s assistance, ensuring employment of the population etc.), financial (effective use of financial resources, in which the holding company is able to provide an uninterrupted process of production and sale of products, use the means of expansion and renewal of production).Their influence on the development of the region’s economy is shown. In particular, the development of production, technical and technological level of the holding; development of related industries; rationalization of the use of forest resources, increasing of the competitiveness of forestry enterprises in the national and international markets, meeting the demand of the population, reducing the number of management entities, stabilizing the region’s economy, improving the management of economic entities, developing the level of corporate culture, adoption of innovations into the industrial sphere of various branches, increasing of the competitiveness of the country in the international market; increasing of the welfare of society, reducing unemployment; economic growth, increase of tax revenues in the regional budget, decrease of the general level of insolvency, etc.
integration, integration structure, holding, timber industry complex, economic stability
Modern market capacity and economy growth paces create preconditions for transition to dynamic economy development in Ukrainian regions. It strategic priorities are high competition and efficiency of internal market, structural and innovative changes in real economy sector, systemic and regulative nature of social and economic development, creativity, innovativeness and accelerated development and strengthening of interaction between all types of economic activity related to satisfaction of human needs. Forestry is one of such economic activity types. Nowadays forestry is involved in the range of other economic activity types and has a huge untapped capacity. Its efficient and rational use can contribute to the development of economy of regions and a country at a whole. The paper aims to research the structure and links in the system of forestry production in a region and to define major organizations in the forestry development under market conditions. The structure of forestry in a region is determined by the following types of economic activity: logging, woodworking, pulp and paper industry, wood chemical industry and furniture production. The inter-branch links of forestry in a region and links maintaining the organization and economic relations of forestry in internal trade are defined. The fact that logging and woodworking as suppliers of their production and consumers of the production of other branches are related to almost all spheres of productive and economic activity, stipulating trade operations between them on the basis of inter-market links and forming the supply and demand for production at Ukrainian internal market, is proven. Directions of interrelation between internal trade and forestry are researched and the influence of exogenous and endogenous factors on the forestry development in a region is analyzed. Holding companies and clusters are defined as possible specialized organizations in the sphere of forestry development in a region. Forming of clusters is emphasized as the basic strategy of forestry development in a region and improvement of its production competitive ability. Clusters contribute to strengthening of efficient activity of forestry enterprises through attraction of investment, introduction of innovations, establishment of supply and sales and information exchange, etc.
internal market, forestry, cluster, competitive ability, holding company
Meat market occupies high position among goods markets as far as meat is an integral part of everyone’s ration and has no corresponding substitute products. Meat products are the major element of state strategic reserves, and meat and meat-processing branches have significant influence on the development of Ukrainian economy. Due to the fact that meat and meat products markets in Ukraine take substantial shares, the development and improvement of competitive ability of domestic enterprises in the branch should be the priorities of national food policy. The article analyzes peculiarities of meat market functioning in Ukraine and its influence on the development of the region’s economy. The tendencies of the livestock sector development in different forms of management are analyzed and attention is focused on the production of products by farms. Regional peculiarities of the development of the poultry meat market and export opportunities are outlined. The number of cattle in Ukraine annually decreases, and the livestock industry is unprofitable. The most problematic is the beef and pork market, which is characterized by a dynamic reduction in production. At the same time, the meat market in the country has great potential and development prospects. Today the production of poultry meat is increasing in large agrarian enterprises, which is actively exported to Asia and Europe. Meat and poultry also occupy the largest share in the structure of imports. Production of poultry decreases in households, which indicates to the monopolization of this market. Taking into account the positive tendencies of poultry development and the concentration of poultry market in several large business groups, a set of organizational, economic and regulatory measures is proposed to be carried out: promotion of the development of small and medium agrarian enterprises and their association in cooperative forms of management; direct state support for increasing production of pork, beef, lamb; adaptation of European quality systems for production, sales and processing of livestock products; promotion of development of an export chain of meat products. This article shows the state and trends of the meat market in Ukraine. The attention is focused on the poultry market that develops on its own. The rapid decrease of consumption of beef, veal, and pork during 2013-2018 was revealed. Priority directions of development of meat production in Ukraine, in particular, beef and pork, have been formed. It is emphasized that effective development of the meat market will promote the sustainable development of the agrarian sphere and the northern territories and increase the competitiveness of domestic products.
meat market, animal husbandry, meat products, state assistance
The paper proves that the level of shadow economic activity at the subregional level, in particular in small towns of Ukraine, remains high. This is manifested, first of all, in concealing part of the proceeds from the sale of enterprises; opacity, corruption, bribery and tax evasion in the field of land relations; violations of current legislation in the use of state or communal property; the presence of a significant informal segment in the labor market. The key aspects of the shadow economic relations at the subregional level are identified as following: concealing of part of the proceeds from the sale of enterprises, in particular in the sphere of trade, including through the sale of products (provision of services) by individuals – business entities, the presence of untreatable so-called shuttle trade, opacity, corruption and bribery, tax evasion in the field of land relations, violations of current legislation in the area of utilization of economic resources and mineral resources, a significant informal segment in the labor market and employment in the shadow economy, the presence of the shadow sector in the field of tourism, the presence of the shadow sector in the field of currency exchange operations. The fact that shadow economic relations are a significant obstacle to the socioeconomic development of small towns and rural areas of Ukraine is proven, as it leads to a decrease in the volume of revenues to local budgets, significantly impedes the access of business entities to economic resources and creates obstacles to the development of entrepreneurial initiatives, deforms the development of the labor market and leads to an increase in official unemployment. Special attention is paid to the growing need to improve the means of state policy aimed at overcoming the shadow economy at the subregional level, and mostly of an economic nature, with a view to simultaneously stimulate the development of entrepreneurship. The following areas of shadow economy overcoming at the subregional level in Ukraine are identified: strengthening the control over the volume of activity of business entities that operate under preferential terms of taxation, reporting and accounting, reducing the amount of shuttle trade, strengthening of control over the use of land resources, implementation of programs for informing the population on the conditions for the establishment and conduct of business, simplification of conciliation and authorization procedures in the course of entrepreneurial activity, implementation of measures aimed at leveling the risks of labor market development in depressed territories, introduction of tax incentives for investment of funds into the economy of small towns.
shadow economy, small towns, rural territories, directions and means of state policy
Nowadays creation of agglomerations becomes the key development instrument for the countries and their territories, provides high quality of life for population, creates comfortable environment for business development and improves competitive ability of a specific territory and country as a whole. Agglomeration constitutes the specific form of territorial concentration of various resources, which is the multi-component dynamic system of adjacent settlements formed around one or several related centers of economic activity, in particular: close economic relations based on circular migration principles; transport and public infrastructure; close social, ecological and cultural relations. Therefore, forming and development of agglomerations will significantly improve domestic regional competitive ability due to efficient use of all types of capital. The paper aims to research the growth of material and non-material production due to agglomeration of consolidated territorial communities with industrial centers in the system of social and economic planning of a country as the basis for GDP growth in a country. The paper emphasizes an important role of agglomerations in the growth of the country’s GDP. It analyzes «urban agglomerations» based on the best experiences of foreign countries. The role of consolidated territorial communities in agglomerations is explained. Technological process of creation of capable territorial communities is outlined. Operating and strategic plans in management activity of consolidated territorial communities are substantiated. Major goal of consolidated territorial communities in their economic efficiency is defined. The system of expenditures minimizing for consolidated territorial communities’ budgets in terms of management-executive local self-governing bodies is examined. Creation of advisory boards in consolidated territorial communities is suggested and their major tasks in the system of social and economic planning of development and functioning of capable consolidated territorial communities in agglomeration with well-developed industrial centers are outlined. The fact that agglomeration can be the pole of economic growth and add over 30% to a country’s GDP is proven. It is especially relevant for the countries with many agglomerations, which demonstrate high paces of economic growth and efficiently distribute their added value.
The reasons and consequences of stagnation of rural territories’ social and economic development improvement in modern conditions are outlined. Systemic flaws regarding the maintenance of rural territories’ spatial planning are found and long-lasting tendency of territorial factor overlooking in their development is emphasized. The priority of taking into account the territorial factor for maintenance of rural territories’ balanced development and sufficiency of combined territorial communities is explained. Implementation of integrated combination of territorial, sectoral and managemental components of state regional policy in the sphere of rural territories at the level of administrative region is suggested. Complex medium term program of rural territories’ modernization in the administrative region is defined as the innovative instrument of rural territories’ management able to maintain implementation of the components of state regional policy on rural development at the level of administrative region with participation and in the interests of territorial communities. The basics of forming, contents and implementation mechanism of the program are presented. The program is directed at solution of the following major tasks: maintenance of differentiated approach to organizational – legal and social-economic regulation of rural territories’ complex development on the basis of application of spatial planning instruments; activation of personal participation and mobilization of rural communities’ resources for solution of local problems and maintenance of development perspectives; growth of rural population employment, strengthening of their motivation for entrepreneurship activity development in rural areas as one of the major conditions of population living standards’ improvement; creation of conditions for the development of non-agricultural types of economic activity on the basis of their local stimulation and increase of job places in villages, promotion of International Technical Assistance attraction for that end; assistance to competitive ability of local producers under the functioning of EU-Ukraine Association Agreement; maintenance of knowledge communication on European practices of rural development in order to improve social and economic wellbeing of rural territorial communities through conducting of educational and information activities; creation of ecologically sound conditions for living activity, preserving of environment and rational management of natural resources. The mechanism and advantages of priority introduction of planning and spatial justification of complex rural development along with implementation of the suggested program are outlined.
rural territory, modernization of rural territories, modernization mechanisms, decentralization
The paper researches major results of decentralization reform conducted in Ukraine in 2015-2017, which stipulates creation of modern local self-governance system, in particular, forming of capable territorial communities through their consolidation. 665 consolidated territorial communities were created in the period, consisting of 28,3% of rural, town and city councils, which had existed before the reform. Meanwhile, consolidated territorial communities have gained budget independency and certain additional financial resources due to growth of tax and non-tax revenues, public subventions for solution of urgent social and economic development issues and increased opportunities to receive assistance from State Regional Development Fund, etc. It makes communities’ consolidation very attractive. However, only the communities consolidated according to perspective plans of community territories’ forming adopted in due course can get preferences. However, approaches to their development raise the warnings. The most complicated questions arise in initiation of creation of economically low-power rural consolidated territorial communities. In this context, the directions of realization of community’s economic capacity through creation of new job places, development of entrepreneurship and more efficient use of land and real property are outlined on the example of Dunayivska consolidated territorial community in Peremyshlyanskyi region of Lvivska oblast. Development of agricultural sector and tourism sphere at rural territories is emphasized, which should be deemed as an efficient factor of overcoming the single-industry nature of rural economy. Regarding the Dunayivska consolidated territorial community, solution of tourism entrepreneurship development issues is suggested to be commenced with elaboration of the program of tourism strategic development at local level, which should include the activities on creation of green tourism resorts at existing households as well as private places of tourists’ accommodation on the basis of buildings under exploitation; organization of horse riding, hiking and cycling routs; development and promotion of local crafts: pottery, carpentry, weaving, decorating of Easter eggs, wood carving, basket weaving, etc. Special attention is also paid to the urgent need for introduction of amendments to current mechanism of budget equalization and providing of public subventions (medical, educational, etc), taking rural areas’ features into account.
Today in Ukraine there is an urgent problem of coexistence and interaction between different types of agricultural enterprises, as well as the possibility to estimate the results of their financial and economic activity in the context of realization of production-financial potential and socio-economic functions in the state economy. During some recent years such relatively new form of entrepreneurship as agro holdings has taken a prominent and leading position not only in the agro-industrial complex, but also in the economic system of Ukraine. In particular, agro holdings ensure the strengthening of Ukrainian export position, especially in the field of plant growing, and their share in GDP is also significant. The purpose of the article is to highlight the peculiarities of the functioning and estimate the results of financial and economic activity of agro holdings in Ukraine. In today’s conditions of functioning of the national economy, achievements and stable growth of profitability are becoming the determining parameters in estimation of the effectiveness of financial and economic activity and the potential of enterprises in implementing the function of social responsibility. Because the profitability is a key factor in the progress and ability of an enterprise to make a significant influence on the socio-economic environment, in-depth analysis will help identify existing or hidden reserves and capacities, as well as large integrated agribusiness forms – agro holdings will be perceived by the society adequately. The evaluation of the results of financial and economic activity was carried out for three agro holdings (Kernel, Myronivsky Hliboprodukt and Astarta-Kyiv), which occupy strong positions in the industry and are characterized by publicity of information about their financial and economic activity. Farming consolidation process in the agrarian sector of the national economy is its natural reaction to the processes of globalization and internationalization of business in the world. As a result, there are many agro holdings in Ukraine. The activity of agro holding structures in Ukraine is characterized by a significant number of advantages for the agrarian market and the economy. This integrated form of agribusiness has also certain internal deficiencies and creates some threats for the agrarian market. We think that agro holdings are significantly ahead of the traditional forms of organization of business structures and are potentially more capable of influencing the socio-economic development of the state and its regions. This is confirmed by results of our research.
agro holdings, agrarian sector of the national economy, results of financial and economic activity
The peculiarities of the transformation of the economic environment of the border regions based on the analysis of changes in the qualitative and quantitative characteristics of its structural elements in the context of deepening of the European integration processes are investigated. The problems and directions of social and economic development of the border regions in the conditions of liberalization of the cross-border movement of goods and services, persons, capital between Ukraine and the EU are outlined. In general, monitoring the development of border areas adjacent to EU member states has shown a significant lag of their socio-economic development in comparison with the rest of the country’s regions. Increasing the transparency of borders, the attractiveness of foreign labor markets and educational services are factors that intensify the processes of outflow of skilled labor and youth in the border regions of neighboring countries. At the same time, they have additional competitive advantages related to the opportunities offered by the implementation of cross-border cooperation, which is intended to become an important instrument for the implementation of the state regional policy precisely at the border areas. Proximity to markets and the coherence of the spatial development of cross-border regions with the participation of Ukrainian regions are those competitive advantages that allow attracting foreign investors to invest in the economy of the border regions. However, EU member states are not very active in investing in the territory of the border regions of Ukraine. The exception is the Republic of Poland, whose share of investments is significant in the economy of Lviv, Volyn and Transcarpathian regions. Despite territorial proximity, Romania does not consider the border areas of Ukraine as attractive in terms of investment. Accordingly, the share of Romanian investments in the economy of Ivano-Frankivsk oblast in recent years ranges from 0.2-0.3%, Chernivtsi region – 0.1%, Odesa – 4-6%. The low investment activity of investors from neighboring EU Member States (primarily Romania, Slovakia and Hungary) in increasing investment in the territory of the border regions of the country necessitates the activation of the work of local authorities, chambers of commerce and industry, etc., in establishing closer contacts, developing joint investment projects, organization of business missions, search for new forms of entrepreneurship development in the common cross-border area, coordination of activities on spatial organization of the economy adjacent territories. Despite the borderline location and available opportunities for the intensification of foreign economic activity, the economy of the border areas (with the exception of the Transcarpathian region) is less open compared to other regions of Ukraine. The analysis of foreign economic activity of the border regions allowed to reveal the changing tendencies in the use of possibilities of cross-border cooperation in the light of the deepening of European integration processes.
border regions, structural transformation, economic environment, state regional policy
At present stage of national economy development, medicinal planting is gradually getting more importance and sustainable positions. However, there is no distinct structure of institutional maintenance for this sector of agriculture, thus hampering its development. Still it is worth mentioning that medicinal planting is directly related to the institutes of various economic spheres. Because the balanced economic development is the process of structural reconstruction and structural changes, which take place in a country’s economy in accordance with the problems of balanced development of industrial production, social sphere, human resources and environment. Therefore, its institutional maintenance requires more detailed examination. The analysis of institutional support and the assessment of the ecological and economic indicators of the activity of enterprises of medicinal plants are the main indicators, the assessment of which allows to form, design and model a positive trend of development of this industry. The objective of this article was to identify the main problems of institutional development of medicinal plant growing in Ukraine and to substantiate the positions and peculiarities of the influence of the institutional approach on the development of the mechanism of regulation of medicinal plant growing. The Institutional support of medicinal plant production is a complex mechanism for regulating this industry, including economic, environmental and social spheres. All this forms the totality of the institutional network of norms, rules, laws, standards (ecological norms and economic obligations) of balanced development of medicinal plant growing, and its institutional system (institutes of management, control, monitoring, certification, etc.). Consequently, the existing institutional structure of medicinal plant growing does not fully meet the new challenges of economic transformation due to the significant potential of systemic contradictions that arose due to low adaptability to the current market realities of the institutes. The current state of medicinal plant growing shows its socioeconomic and ecological significance to the population of Ukraine. However, his institutional development is at the stage of formation. The presence of formal institutions does not always correspond to its real actions and functions, which largely depends on the state's interest in the development of this industry. The lack of an effective hierarchical structure of regulation of medicinal plant production somewhat inhibits the process of stable functioning.
institutional support, sustainable development, institutional factors of nature management, medicinal plants, the law of Ukraine, institutional restructuring, economic activity
The current state of institutional provision of natural resources in Ukraine and neighboring states is analyzed. The peculiarities of financial regulation of environmental protection activity are investigated and the main stimulating and destructive factors of its development in Ukraine are revealed. The instruments of economic regulation of the use of natural resources and the protection of the environment in the institutional space of the state are proposed.Institutional provision plays a major role in the use of nature, since it is the regulatory and controlling mechanism for its balanced development. In each country, the constitution lists the institutions of various spheres of natural resources and environmental protection. Foreign experience, in particular the EU member states, shows the importance of this issue in many areas of activity, creating an entire institutional structure (institutions and institutions) in the field of nature use and nature conservation, where each member (country) undertakes to meet the requirements and ensure the development of a rational environmental management and environmental protection. At the heart of the priority of environmental policy, commonly recognized for all EU countries, is the prevention of environmental pollution by environmental prudence and prudence. Monitoring of the state of the environment, accounting of emissions, control of financial flows, environmental costs, environmental taxes, compliance with EU environmental legislation – is a regular algorithm for fulfilling the mandatory institutional conditions for sustainable cooperation between participating countries. In Ukraine, however, the institutional environment of environmental activities within its borders and at the interstate level is still developing.
Financial decentralization is an important determinant of regions’ social and economic development, contributing on one hand to reduction of state role in their financial maintenance and on the other hand – to creation of opportunities for strengthening of local budgets’ autonomy. The paper aims to conduct comparative analysis of financial decentralization manifestations in Ukraine and in the world. The features of financial decentralization manifestation in the context of its influence on economic growth of regions and territorial communities are outlined on the basis of analysis of best practices in economically developed countries. The sources of income forming are found. The facts that the revenues of subregional level budgets are (predominantly) formed by local taxes, the largest share of which is taken by property taxes and that their share in budget revenues of federal countries is much lower than in unitary ones are proved. Various levels of decentralization are peculiar to different countries, however «richer» countries are more decentralized. The fact that there is no optimal level of financial decentralization because each country goes its own development way is proved. The reasons of financial decentralization are outlined, including the following: low efficiency of educational and healthcare spheres, social protection, public management; excessive costs for maintenance of management aparatus and network; poor paces of advanced technilogies’ introduction, small insufficient communities, desire to improve the quality and quantity of public services, although at the beginning of 2000s the development of democratic political system was in priority for the countries of the Eastern Europe. Fist steps of financial decentralization in Ukraine and the flaws of the launched reform are shown. Priorities of budget policy in Ukraine in conditions of interbudgetary relations’ reform are defined. The mirror transfer of experience in implementation of financial decentralization reform in European countries and globally to Ukrainian ground is emphasized to be inappropriate. The later requires detailed analysis of peculiarities of its manifestation within each country.
financial decentralization, local taxes, local self-governance bodies, community, region, European Union members
One of the most significant reforms in Ukraine is government decentralization, the main idea of which is to create effective local self-government, comfortable living conditions for citizens, and provide them with high-quality and affordable services. Achieving these goals is impossible without the proper level of economic development of the respective territories, their financial support and sufficient sources for filling local budgets. The paper aims to show current state of local budgets’ reforming in conditions of administrative and financial decentralization in Ukraine, conduct analysis of modern problems of local budgets’ forming and systemize suggestions over the perspectives of financial decentralization in the context of the need to reform the system of authorities in Ukraine. Implementation of effective budget policy of territorial communities, creation and distribution of financial resources of local authorities is carried out through the system of local budgets. That is why the formation and financing of the local government budget is one of the most important areas of public finance that needs further research. The essence of financial decentralization is studied, advantages and disadvantages of its functioning are indicated. Particular attention is paid to the theoretical principles of fiscal decentralization and its proven impact on the socio-economic development. The article is devoted to the major trends and issues of development of local budgets in Ukraine. The structure of tax revenue in the context of changes in the budget and tax legislation in a decentralized tax powers is systematized. In the article the peculiarities of local budgets’ revenues formation in the conditions of decentralization, which are received from taxes, non-taxable sources and other revenues (without inter-budget transfers) are examined. Disadvantages and perspective ways of optimization of local budgets’ revenues formation in the conditions of decentralization are outlined. The attention is focused on the reform of fiscal decentralization as one of the key reforms that will build a modern system of governance and create conditions for the development of civil society. The fact that the main objective of territorial communities is to meet the interests of community residents in all spheres of living activity at the relevant territory is proved.
decentralization, administrative and financial decentralization, combined territorial communities, local budgets, local budget revenues, budget legislation, tax legislation
The article defines that strategic management of innovation infrastructure is a complex process that: consists of two stages (planning of the development of innovation infrastructure and implementation of the strategy of innovation infrastructure development), each of which involves the implementation of 4 of the main management functions (organization, coordination, motivation, control); should take into account the permanent and systematic effects of the external environment, identifying accelerators and destructors, which are logically divided factors, imperatives of the development of innovation infrastructure. The importance and role of implementation of the strategy of innovation infrastructure development as a stage of state strategic management of innovation infrastructure were explained in the article. Iterative and incremental models were determined as basic alternative models of implementation of the strategy of innovative infrastructure development in Ukraine under global competition conditions. The main comparative advantages of the iterative model of implementation of the strategy of Ukraine’s innovation infrastructure development under global competition conditions are: higher level of relevance to environmental requirements; shorter validity period; higher level of inclusiveness of goals, methods, tools, results of innovation infrastructure development and national innovation system, country, emerging global innovation infrastructure; more efficient management of the risks of innovation infrastructure development by reducing the lag «identification of risk – elimination of risk»; faster changes due to amendments in the objectives of the development of innovation infrastructure in the context of global competition; more efficient use of endogenous and exogenous opportunities, accelerators of innovation infrastructure development; managing the architecture and functioning of the innovation infrastructure more efficiently by defining its defects in its early iterations rather than at the end of the strategy; higher probability of implementation of the strategy of innovation infrastructure development by increasing the level of integration and responsibility of all functional units of its provision, etc.
innovation infrastructure, strategy of development, model of strategy implementation, incremental model, iterative model, globalization
The article examines the state of social and cultural development of developed European countries such as Germany, France, Italy, Spain. The experience of Germany shows that there is no such central body of governance in the sphere of socio-cultural development as the Ministry of Culture. Therefore, all questions concerning the cultural sphere are solved by independent structures (departments of culture) that are created at the local administrative level. The federal administration remains with the main tasks, which were to be fulfilled exclusively by the central bodies of the state. The federal bodies of cultural management develop directions of the state cultural policy, provide financial assistance to cultural and art projects of national importance and enforce control over the implementation of their decisions. The experience of Italy lies in the interest in sponsoring the socio-cultural sphere. The new code of law on public works simplifies the sponsorship process in favor of the cultural heritage. New procedures will be made possible by placing transparent reports on websites. The state has introduced such standards that all real estate companies can obtain building permits provided that they make a financial contribution to the provision of cultural services by planning the integration of cultural infrastructure and services. Percentage of infrastructure investments in public works can be filled by a fund designed to support cultural activities at the local level. The experience of Spain is to fill funds that are created and filled with 1.5% of the cultural tax administered jointly by the Ministry of Infrastructure and the Ministry of Culture. The article states that in Ukraine, it would be advisable to create cultural centers that could be financed by state grants. These centers could take on the liabilities to establish a network with other regional cultural centers, which would give the opportunity to create a motivation for their association in terms of resources and implementation of joint projects. The best centers could receive an award from the Ministry of Culture for achievement, for strategic business plans, business model, for engaging of public associations or quality management.
socio-cultural development, socio-cultural sphere, foreign experience of social and cultural development, cultural centers
The process of Ukraine’s European integration is at its development stage. It is accompanied by the range of changes, which should be undertaken in economic, social and educational directions. Due to its dominating role, most attention is paid to economic component. Development of small entrepreneurship takes important place in the list of tasks to be solved in the course of European integration, as far as it promotes gradual creation of significant layer of small owners as the component of strong foundation of Ukrainian economic system. The article deals with the problems of adaptation of the International Financial Reporting Standards for small and medium enterprises of Ukraine in the conditions of European integration. The increase in the share of small and medium enterprises is a stable tendency of the modern economic system of Ukraine. The review of the legislation of Ukraine on the regulation of the activities of small business entities, as well as the organization of accounting and reporting is presented. The orientation towards the European integration of Ukrainian economy leads to changes in the legal and regulatory framework of the accounting sphere. This is manifested in a phased transition to international accounting and financial reporting standards. At the same time, the legislative regulation of the organization of accounting of small business entities in matters of transition to international standards needs to be further explored. The existing differentiation of small businesses involves their division into small enterprises and micro enterprises. This was manifested in the differences in the organization of accounting and forms of financial reporting. The differentiation of single tax payers, which also belong to small businesses, shows the differences in the organization of accounting, depending on belonging to the group of single tax payer. In the process of developing international financial reporting standards for small and medium-sized enterprises, the aim was to obtain relevant, reliable and useful information on which qualitative and understandable accounting standards can be established for small and medium-sized enterprises. A prerequisite for the introduction of standards is that the costs of preparing financial statements for owners and other stakeholders will not exceed the benefits of providing such information. Therefore, the adoption of IFRS for SMEs should be preceded by appropriate preparatory work, in particular bringing different legislative acts to the same treatment of the conceptual category of small business. The foreign experience of implementation of the provisions of the Standard is outlined. The controversial attitude of EU member states towards IFRS for SMEs is highlighted, where the national peculiarities of small businesses’ economic activity are the first.
small business entities, accounting, reporting, association of Ukraine to the EU, international financial reporting standards for small and medium-sized enterprises
Under market economy conditions, the development of animal husbandry traditional for Ukraine, maintenance of food independence and filling in the market niche in the sustainable pan-European economic complex directly depend on the state of breeding science development, which is the decisive one in terms of qualitative improvement of species composition. Introduction of domestic and foreign economists’ scientific achievements should be based on the theory of selection and traditional understandings, which have been forming for many years. Therefore, outlining of its further development perspectives is impossible without examination of genesis of certain theories and concepts. Their creative use is an important factor of national animal husbandry revival. Meanwhile, it is worth mentioning the lack of credible theoretical and methodological basis for introduction of organization and economic mechanism of production strategic development, as well as poor empirical basis of institutional research with total substitution of qualitative domestic production with cheap foreign analogues. Under such conditions, the search for the ways to regain the lost positions in animal husbandry production in terms of both science and methodology and practice remains to be urgent and testifies to the objective need for the research of the problem. The paper is devoted to the research of theoretical basis and practical issues of forming and development of animal husbandry strategic directions at agricultural enterprises, taking into account the state programs of production stimulation, which should provide its successful development under current market conditions. The fact that economic and legal aspects of animal husbandry production development are flawed and require significant changes is proven. Taking into account the critical situation in production, the country needs to take all necessary measures to reduce the losses in producers’ activity, to provide the consumer with food, to protect internal market and to produce competitive goods. Strengthening of control over adherence to agricultural legislation, elimination of incoherencies in regulative acts and creation of concessional lending are of urgent importance as well.
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