scholarly journals RURAL ECONOMY UNDER CONDITIONS OF FISCAL DECENTRALIZATION AND COVID-19 WORLD CORONAVIRUS INFECTION PANDEMIC: A CLUSTER PARADIGM

2021 ◽  
Author(s):  
Serhii Petrukha ◽  
Keyword(s):  
Rural Development ◽  
Rural Economy ◽  
Fiscal Decentralization ◽  
Local Level ◽  
Value Added ◽  
State Regulation ◽  
The State ◽  
Financial Capacity ◽  
Decentralization Reform ◽  
Practical Recommendations

The study presents the evolution of the rural economy state regulation system based on the experience of economic relations, which covered a long historical path of development. Definitely that, in Ukraine, it is relatively developed, however, in accordance with the challenges caused by a corona crisis and fiscal decentralization, individual methods of the state regulation of the rural economy require not only further improving but also evaluating for real sources of revenues of territorial communities. This stipulated the goal of research (development of theoretical provisions, elaboration of methodical and practical recommendations on studying an impact of the corona crisis and decentralization on the rural economy), enabled to build up a respective methodology based on the combination of general scientific and special methods of research of interconnections between financial capacity of local budgets – rural economy (rural development) – regulation potential from rural territorial communities as well as formulate a chain of the following conclusions. A recession caused by COVID-19 and forced sequestration of the State Budget of Ukraine has made a start of financial uncertainty and low predictability of formation of the revenue side of local budgets, having posed not only a real threat to the implementation of the second stage of the decentralization reform in Ukraine but also having cancelled out a regulatory basis for sectoral modernization of the national and local economy, having essentially braked forming institutional capacity of territorial communities to regulate the rural economy, in particular, due to reduction in budgetary appropriations for the functioning of the State Fund for Regional Development, having formed a steady trend towards delaying in establishing the Fund for Development of Rural Areas. It is found that within the framework of the dual model of regulation of the rural economy at the local level, it is takes place by forming respective, as a rule, three-year programs of development of the agrarian sector of the economy, however, at the level, which still does not allow not only to ensure an expected level of local value-added of agro-products but also shape the regulation architecture ideology, from territorial communities, of the institutional composition of the rural economy, bringing, to the forefront, their potential to support the said process, which closely correlates with financial capacity. A conducted corona test for financial capacity against the background of reduction in the fiscal base of local budgets has established that the existing situation with receipts of financial resources does not allow to gain value-added from the functioning of the rural economy at the local level, having left a traditional level of regional dependence from the effectiveness of the performance of the agricultural production, which does not correlate, to a sufficient extent, with program values of stimulation of rural development, cutting them, on a priority basis, against the background of the need to improve transport connection to timely deliver medical aid to the population, be in a position to test it for the presence of a coronavirus and do future vaccination. The scientific novelty of the results of research consists in developing the theoretical provisions as well as elaborating methodical and practical recommendations on providing enhancement of the efficiency of the state regulation of the rural economy on the basis of the developed multi-stage methods of the assessment of the state of the rural economy and regulatory potential of territorial communities including forming a specialized system of assessment indicators reflecting an impact of the corona crisis on the status of local budgets (with a focus on rural territorial communities) with a projection of the degree of importance of each its component in the system of management of changes in the rural economy.

scholarly journals Inclusive rural development: a scientific discourse

2019 ◽  
Vol 2019 (1) ◽  
pp. 67-82
Author(s):  
Olena Borodina ◽  
Ihor Prokopa
Keyword(s):  
Economic Growth ◽  
Sustainable Development ◽  
Rural Development ◽  
Rural Areas ◽  
Rural Economy ◽  
State Regulation ◽  
The State ◽  
Inclusive Development ◽  
Theoretical Concepts ◽  
The Law

The article considers the essential features of rural development as a multi-vector process, which not only involves economic growth in rural areas, but also requires its adaptation to human behavior, social and political structure of rural communities and their involvement in development processes. It also reflects systemic positive changes in rural areas, which are initiated "from bottom" and supported "from top". In this concept of rural development, inclusiveness is inherent. The authors show that the development of the concept of "inclusive rural development" took place in the process of enrichment and specification of the theoretical concepts of sustainable development, inclusive growth and inclusive development in relation to the rural sector of society. This concept denotes a development whose result consists in the creation of proper conditions for the rural population for such purposes as: the use of land and other local resources in the economic activities; adequate distribution of the results of economic growth in the agriculture and other sectors of the rural economy; and participation in social and public life for the consolidation of communities and observance of human rights. Such development leads to the reduction of poverty, overcoming the economic, social and political exclusion of people residing in rural areas. It is pointed out that ensuring the inclusive development is a function of the state regulation of national economy. To implement it in Ukraine, it is necessary to ensure, first of all, the implementation, in the regulatory and legal framework, of the global goals of sustainable development and the objectives for their achievement. That could be realized by adopting the Law on the Strategy for Sustainable Development until 2030, and, in the part of inclusive rural development, also the Law on the Basic Principles of the State Agrarian Policy and State Policy of Rural Development.

scholarly journals An Overview of the Fiscal Decentralization in the Context of the State and Local Taxes in Ukraine

2021 ◽  
Vol 1 (516) ◽  
pp. 251-257
Author(s):  
T. V. Ponomarova ◽  
◽  
M. A. Komlieva ◽  
Keyword(s):  
Fiscal Decentralization ◽  
Local Level ◽  
State Level ◽  
The State ◽  
Local Taxes ◽  
Tax Revenues ◽  
State And Local ◽  
Legislative Changes ◽  
Decentralization Reform ◽  
The Impact

One of the key elements of the analysis of the efficiency of reforms at the State level is the effectiveness and a shift in quantitative indicators of the relevant statistical categories. In Ukraine, the period after 2014 is considered to be the time of legislative changes and reforms. Among them, according to experts and politicians, the most successful is the decentralization reform. Its implementation is based primarily on changes in the taxation system both at the national and local levels. Accordingly, the main indicator of achieving the goals of fiscal decentralization can be considered changes in the structure of tax redistribution between the local and the State budgets. This article provides an assessment of the level and dynamics of the main types of taxes as to their proportion between different levels of fiscal centralization. In the course of the research, a comparative analysis of rates and monetary measurement of both the national and local taxes and fees was carried out. The authors account tax revenues in a geographical context and during the last eight years, which allows assessing the impact of the reform on the amount of taxes collected, identifying the leading regions, as well as tracking the taxation trends. As a result of the research, it is found out that fiscal decentralization since the beginning of its implementation has been a significant factor in the growth of tax revenues in local budgets. Nevertheless, personal income tax prevails among fiscal fillers of budgets at the local level, so the problems of unemployment and lack of jobs in times of coronavirus crisis pose a challenge for the financial security of territorial communities. Further research on the topic is considered promising given the effectiveness of combining the benefits of fiscal decentralization with the relevant instruments of the State support to increase the local budget funds.

scholarly journals LESSONS FROM FISCAL DECENTRALIZATION IN UKRAINE

2019 ◽  
Vol 4 (7) ◽  
pp. 73-78
Author(s):  
VARNALII ZAKHARII VARNALII ZAKHARII ◽  
LIUDMYLA DEMYDENKO ◽  
YULIIA NAKONECHNA ◽  
NATALIIA MIEDVIEDKOVA
Keyword(s):  
Public Sector ◽  
Fiscal Decentralization ◽  
Local Level ◽  
The State ◽  
Financial Resources ◽  
The Public ◽  
Tax Legislation ◽  
Model Of Management ◽  
State And Local ◽  
Decentralization Reform

In order to build an effective model of management of budget funds, it is important to ensure the constant and systematic disclosure of information on the accumulation of financial resources of the state and local budgets and the directions for their use. The first results of the process of fiscal decentralization in Ukraine are considered, which is accompanied by changes in the budget and tax legislation. Specifics of the formation of tax revenues of budgets of joint territorial communities are outlined. The state of disclosure of budget documents by the amalgamated territorial communities is highlighted and the need for coordination of the authorities in this area is indicated. Understanding citizens› spending processes in the public sector can significantly increase confidence in state institutions, provide conditions for the implementation of necessary reforms in all-important areas of the country. In the context of the fiscal decentralization reform launched in 2015, the issue of transparency of financial information at the local level in Ukraine is raised, as significant amounts of financial resources are transferred to local budgets. Strengthening the focus on local government action on effective management of budget funds should be a priority for public organizations and political parties. The implementation of the state policy aimed at increasing transparency and openness in the management of financial resources in the public sector will ensure the tangible results in the social and economic spheres that will be obtained by the citizens of the communities.

scholarly journals DIAGNOSIS OF THE LEVEL OF FINANCIAL DECENTRALIZATION OF LOCAL BUDGETS ON THE BASIS OF INTEGRAL EVALUATION

2021 ◽  
Author(s):  
Yurii Puhach
Keyword(s):  
Financial Stability ◽  
Local Level ◽  
The State ◽  
Financial Resources ◽  
Financial Security ◽  
Regional Strategies ◽  
Self Development ◽  
Decentralization Reform ◽  
Objective Description ◽  
Functional Components

The process of implementing socio-economic change at the local level is closely linked to administrative reform and financial decentralization as important tools for regulating and allocating budget funds. Problems of reforming the administrative-territorial system, the formation of budgetary policy of the regions with the expansion of powers should be based on the development of regional strategies and a comprehensive analysis of financial resources. Approaches to the economic analysis of the efficiency of the allocation of financial resources in the context of decentralization reform are becoming increasingly important. The analysis of individual indicators somewhat narrows the perception of economic processes and does not allow to assess the level of provision of funds of administrative-territorial units by areas and in general. The issues of improving the methods and tools for assessing the financial resources of local budgets in the context of decentralization are becoming important. The article proposes improved approaches to the analysis of the level of financial decentralization of local budgets on the basis of aggregate indicators by areas. The technique allows analyzing the state of resource-functional components over time. The application of integrated assessment contributes to the objective characterization of the level of financial security of the regions, the revision and development of economic opportunities in the context of limited resources of local budgets. The proposed approach contributes to the formation of an objective description of the level of financial security of the region, and hence the financial opportunities for self-development. The methodology reveals the state of resource-functional components, the dynamics of deviations of integral values, allows monitoring of quantitative benchmarks to achieve the desired level of financial stability of regions and allows focusing on objective reasons for real financial decentralization in Ukraine. The results of the analysis focus on the assessment of regional development trends in the context of financial decentralization and form the need for further research in this direction.

scholarly journals Optimization tools of education network

2021 ◽  
Vol 70 (3) ◽  
pp. 7-15
Author(s):  
L. Benovska
Keyword(s):  
Public Involvement ◽  
Local Community ◽  
The State ◽  
Educational Institutions ◽  
Infrastructure Management ◽  
State Budget ◽  
Financial Capacity ◽  
School Network ◽  
Decentralization Reform ◽  
Education Network

It is determined that school as a center of human capital formation, and as an institution requiring effective funding and management is the asset of the territorial community development. The main problems of the development of educational network of territorial communities in Lviv region related to the inconsistency of the educational network development to the demographic situation in the region, as well as the inefficient management system of educational institutions are identified in this paper. Non-optimized educational network is a burden on the development of the local community, as the community is forced to spend its own funds to finance educational needs, which in turn limits the funding of other activities, including infrastructure expenditures, development expenditures which are important for community life. The implementation of administrative and territorial decentralization reform faciliated the strengthening of local authorities role in educational infrastructure management, the increase of educational institutions autonomy and active public involvement in solving the problems of their management. The main tools for optimizing the educational network of local communities in the context of decentralization reform are identified and analyzed in this paper. The author considers them as: change of the principles of funding and transition to «funding per student», use of educational subvention and quantitative criteria for funding schools from the state budget, formation of educational districts and support institutions. Compared to other regions, Lviv region has dynamically reformed its educational network. However, the united territorial communities of Lviv region are less active founders of basic educational institutions than districts, and the students who study there, demonstrate lower level of knowledge in the assessment of the state final attestation and externally independent assessment. The influence of the educational subvention on the changes of the educational network in Lviv region is determined. It is determined that the use of buffers in the calculation of the index of financial capacity of the school network in 2021, significantly affected the level of differentiation of the index of financial capacity. This approach can be an obstacle to the optimization of the school network.

scholarly journals COMPONENTS OF THE BUDGET SYSTEM OF UKRAINE AS FACTORS OF FINANCIAL AND ECONOMIC SECURITY

2020 ◽  
Vol 1 (3) ◽  
pp. 29-34
Author(s):  
Oleh Holovko ◽  
Lilia Solomonova
Keyword(s):  
Public Debt ◽  
Financial Stability ◽  
Budget Deficit ◽  
Economic Security ◽  
The State ◽  
State Budget ◽  
Decentralization Reform ◽  
State Pension ◽  
Practical Recommendations ◽  
Budget System

The purpose of this study is to analyze the components of the budget system of Ukraine as factors of financial and economic security to identify negative trends in the context of the implementation of decentralization reform. It is proved that the research of this direction should start with the analysis of the conceptual apparatus and structural relationships between categories. At the top level of the hierarchy there is the category of national security of Ukraine, which, according to current legislation, means the protection of state sovereignty, constitutional order and other national interests of the country from real and potential threats. The category of financial and economic security is also often used in the scientific literature. Given the above classification, in this case we are talking about the financial security of the country as a factor of economic security. Methodology. To stimulate economic development, the practice of modern budget regulation provides for the presence of a planned deficit, which is a source of local and public debt. Depending on the areas of its financing, there are domestic and foreign, local and national debts. The relationship between the above indicators determines the level of budget security of the country, which is one of the most important factors of financial stability was identified in the work. Results. It is proved that, according to the results of the analysis, practical recommendations on budget policy of Ukraine as a factor of financial and economic security should take into account the following steps: against the background of growing social burden on the budget, it is necessary to continue the redistribution of budget funds in favour of the regions, which will increase their level of financial autonomy and reduce the amount of transfer payments; pursue a strict restriction policy to prevent the growth of the state budget deficit and uncontrolled increase in debt; the problem of pension provision increases the burden on the state budget every year. It is necessary to take measures to create a cumulative system of state and non-state pension insurance. Practical implications. The practical consequences prove that in 2016 the public debt of the consolidated budget of Ukraine reached a record 81% of GDP. However, effective economic and budgetary policy allowed to reduce it in 2019 to 50.3%, which was positive. Moreover, the share of external debt was 29.2%. The high budget deficit in 2020 will lead to an increase in debt to 58.7% of GDP, which offsets the previous positive changes. It is determined that at the beginning and at the end of the study period the expenditures of the pension system of Ukraine have been equal to about 10% of GDP. At the same time, financing from own revenues has decreased from 8% to 6%, which is negative. The most critical situation became after 2013, when this indicator began to decline rapidly, increasing the burden on the state budget. Value/originality of the work is an analysis of the components of the budget system of Ukraine as factors of financial and economic security, which in contrast to the existing ones is based on the need for further implementation of decentralization reform and allows to develop practical recommendations for budget regulation.

scholarly journals Diversity of the agricultural sector of the Russian economy: regularities of formation and development

2020 ◽  
Vol 210 ◽  
pp. 13009
Author(s):  
Marina Kholodova ◽  
Evgeniya Krinichnaya
Keyword(s):  
Rural Areas ◽  
Rural Economy ◽  
Agricultural Sector ◽  
State Regulation ◽  
The State ◽  
Private Land ◽  
Rural Employment ◽  
Russian Economy ◽  
Economic Reality ◽  
The Village

The article deals with the main stages of formation and formation of a multi-layered rural economy in Russia. Presents the evolution of the development of multi-structured forms of farming in rural areas, depending on the degree of influence of the state on the economy of the agricultural sector of the country. It is proved that the key tools of state regulation of this issue are agrarian reforms, privatization, creation of an entrepreneurial environment, formation of an appropriate investment policy, and development of private land ownership institutions. The significant impulse for the development of modern forms of farming in the village was the choice of state priorities in the framework of the National project "Development of agriculture" were transformed into the state Program of development of agriculture, which allowed to strengthen its position as a major Agroholding structures and small-format sector. It is proved that sanctions and tendencies of the new economic reality amid the pandemic of the syndrome has led to the need to promote small agribusiness in rural areas, which will contribute to rural employment, development of rural infrastructure, growth of real monetary incomes of the population and middle class formation in rural areas.

Contemporary Experience and the Resultsof agrarian reforms in China and russia

2014 ◽  
pp. 137-146
Author(s):  
I. Buzdalov
Keyword(s):  
Rural Development ◽  
Economic Analysis ◽  
National Security ◽  
Farm Management ◽  
State Regulation ◽  
The State ◽  
Foreign Experience ◽  
Agrarian Reforms ◽  
Agrarian Policy

The comparative social and economic analysis of character and consequences of agrarian transformations in China and Russia is presented in the article. It is shown that, unlike China, the agriculture of Russia continues to remain in conditions of the deep system crisis creating a serious threat to food and general national security of the state. Ways out of this crisis are grounded. Special attention is paid to using the Chinese and broad foreign experience on providing priority of the rural development, changes necessary for this purpose in agrarian policy, the system of state regulation and farm management.

scholarly journals In the Shadow of the State - the Informal Economy and Informal Economy Labor Force

2015 ◽  
Vol 5 (4) ◽  
pp. 227-248 ◽  
Author(s):  
Friedrich Schneider
Keyword(s):  
Labor Market ◽  
Labor Force ◽  
Informal Economy ◽  
Value Added ◽  
State Regulation ◽  
Influential Factors ◽  
The State ◽  
General Situation ◽  
Tax Policies ◽  
Economic Opportunities

Abstract In this paper, the main focus lies on the informal economy and on work in the shadow. The most influential factors on the informal economy are tax policies and state regulation. The size of the informal economy was decreasing over the period 1999 to 2007, from 34.0% to 31.2% for 161 countries (unweighted average). Furthermore, economic opportunities, taxes and regulations, the general situation on the labor market, and unemployment are crucial for an understanding of the dynamics of the shadow labor force. In contrast with the decrease of the informal economy (value added figures), the informal economy labor force increased for most countries over the period 1999 to 2007.

scholarly journals FISCAL DECENTRALIZATION AS A TOOL OF MINIMIZATION OF TAX GAPS IN THE ECONOMY

2021 ◽  
Author(s):  
Sergij Lyeonov ◽  
Inna Tiutiunyk ◽  
Alina Lob
Keyword(s):  
Tax Evasion ◽  
Fiscal Decentralization ◽  
Negative Impact ◽  
State Regulation ◽  
Management Policy ◽  
State Budget ◽  
Current Trends ◽  
Before And After ◽  
Decentralization Reform ◽  
Financial Monitoring

Current trends in the functioning of the official and shadow sectors indicate the low effectiveness of the existing tools of state regulation of the economy and its inability to ensure long-term economic growth. One of the reasons is tax evasion, which leads to the formation of tax gaps in the economy. Their formation has a negative impact on economic development, reduces the country's budget potential, limits opportunities for funding programs. The paper substantiates that along with the regulation of tax rates, increasing the efficiency of financial monitoring procedures, assessing the probability of implementing tax evasion schemes, an important tool for minimizing tax gaps is the implementation of fiscal decentralization policy. The article analyzes the current trends in the implementation of reform of fiscal decentralization in Ukraine. The dynamics, features and advantages of the formation of united territorial communities are analyzed. It is concluded that the number of formed united territorial communities in Ukraine has been gradually decreasing since 2017. The main features of fiscal decentralization include the expansion of cooperation between individual territorial associations in the field of their economic and social development, growth of their financial potential by combining financial and investment opportunities, implementation of joint measures to regulate economic processes. The role of fiscal decentralization in the implementation of tax gap management policy is substantiated. A comparative analysis of the dynamics of changes in the main indicators of local budget revenues before and after implementation of decentralization reform in Ukraine is carried out. It is concluded that the volume of tax revenues to the state budget will be gradually reduced starting in 2015. This correlates with the beginning of the implementation of the financial decentralization reform in Ukraine. The study concludes that the implementation of decentralization reform in the country as one of the most effective tools to increase the tax potential of the territory, reduce the volume of shadow financial transactions and manage tax gaps.

Sign in / Sign up

Export Citation Format

Share Document