Budget Policy of Social Development

The monograph is devoted to the development of methodological and institutional framework for the formation of fiscal policy to ensure social development. The essence and role of budget regulation in supporting the processes of endogenous economic growth are revealed. The experience of the implementation of fiscal policy in countries with developed and transformational economies is systematized. The directions of increasing the efficiency and strengthening the regulatory potential of the state tax policy are proposed. An assessment of the tax burden on labor and consumption in 2001–2017 is carried out; a comparative analysis of the values of the corresponding indicators in Ukraine and the European Union member countries is carried out. The factors that affect the fiscal significance of the value added tax, excise tax, income tax, personal income tax are identified. Provisions for enhancing the effectiveness of the institutional architectonics of the budget system are improved. Directions for improving the efficiency of budget expenditures are substantiated. The analysis of the influence of the main factors on the dynamics of changes in the ratio of public debt to GDP is carried out; it is established that inflation affected the most, and the exchange rate influenced the increase. An approach to assessing the state of debt security of the country is proposed, the conceptual framework for managing the budget deficit and public debt is defined. Provisions for the implementation of long-term budget planning and forecasting are developed. Institutional framework for the formation of the budget strategy is improved. The conceptual foundations of state financial support for human development are defined. A long-term budget strategy is developed, taking into account the cyclical nature of economic development. The conducted scientific research allows identifying the possibilities of positive influence of the budget policy on social development in the context of improving the quality of the institutional environment

Bases of public financial regulation of human development

In conditions of modern economic transformations, an in-depth understanding of the essence of the state financial regulation of human potential in the system of ensuring socio-economic development of the country is important. It is important to use a holistic architecture of financial regulation of the economy, further development of provisions on institutional mechanisms of financial provision of human development, which purposefully applied by state institutions. The proper level of validity of the priority directions of the state financial policy for the human development will contribute to the effectiveness of structural changes in the economy and social sphere. It is proved that the system of state financial regulation of human development needs constant improvement taking into account progressive methods, adaptation to internal and external economic factors in conditions of institutional transformations of the economy. Based on the study of the theoretical foundations of the state financial regulation of human development, its essence is disclosed as an integral part of social development, which involves the use of a set of norms, rules, methods, forms, mechanisms and instruments of financial architecture, in order to provide conditions for improving the quality of the institutional environment of the model of economic growth and an increase in the level of human development in the conditions of strengthening the influence of integration processes on macroeconomic dynamics that will promote the increase of the effective structural changes in the economy and social spher

АЛЬТЕРНАТИВНЫЕ ИСТОЧНИКИ ФИНАНСИРОВАНИЯ РАЗВИТИЯ ЧЕЛОВЕЧЕСКОГО ПОТЕНЦИАЛА

The article studies the possibilities and expediency of endowment utilization as an alternative of the social sphere elements budgetary funding in Ukraine. We have conclusions that the endowments have some advantages. That’s is creates the possibility for a long-term planning and development of social sphere (mechanism of adequate general stable situation in the country), convenient for major companies inclined to strategic business planning and contributions in the social sphere, transparent and provides guarantees for the donors in the specific cash expenditure, provides the non-commercial organizations with the possibility to change the approach to implementation of social projects, to study how to earn the money and not to be just the consumers, creates the possibility to accumulate the funds in charitable purposes that makes them attractive for medium and small companies. The disadvantages of endowments are risks of financial nature (small income guaranteed transactions, high inflation rate, exposure to the financial crises), difficulties with forming the «body» of the specific capital of such size that would guarantee more or less substantial income directed for charity, no instant effect for recipient’s favor,  possibility to be used in swindling, no tax stimulation of donors. Let’s think that endowments or funds specific capital have an important meaning in the development of social sphere because they are basis for its long-term planning and development. For non-commercial organization there are at least two advantages. First is stable financing and second is attraction of new contributors for non-commercial organizations. It is both stability of financing and guarantee of stable functioning.В статье рассмотрен процесс становления эндаументов в качестве альтернативы бюджетного финансирования социальной сферы. Изучена история зарождения и становления эндаументов в странах Западной Европы и США. Исследован процесс становления эндаументов в Российской Федерации и Украине. Изучен опыт использования эндаументов в Украине. Выявлены положительные последствия применения эндаументов в Украине, а именно: создание возможностей для долгосрочного планирования и развития социальной сферы (механизм адекватной общей стабильной ситуации в стране), удобство для крупных компаний, склонных к стратегическому планированию бизнеса и вложений в социальную сферу, прозрачность и обеспечение гарантии для доноров в целевом расходовании средств, обеспечение для некоммерческих организаций возможностей изменения подходов к реализации социальных проектов, предоставление возможностей учиться зарабатывать деньги, а не только выступать в роли потребителей, создание возможностей аккумулировать средства в благотворительных целях, что делает ее привлекательной для средних и небольших компаний. Также выявлен ряд недостатков в возможностях применения в Украине, связанных прежде всего с отсутствием институтов регулирования эндаументов, а именно: риски финансового характера (малодоходных гарантированных финансовых операций, высокий уровень инфляции, незащищенность от финансовых кризисов), сложность с формированием «тела» целевого капитала такого размера, который гарантировал бы более-менее существенный по объему размер прибыли, направляемую на благотворительную деятельность, отсутствие быстрого эффекта для благополучателя, возможность использования в мошеннических целях, отсутствие налогового стимулирования жертвователей. Сделан вывод, что эндаументы или фонды целевого капитала имеют важное значение в развитии социальной сферы, ведь это является основой для ее долгосрочного планирования и развития. Для некоммерческой организации, как минимум, преимуществ два. Во-первых - стабильное финансирование. Во-вторых, для некоммерческих организаций это является фактором стабильности с точки зрения привлечения сотрудников. Это и стабильность финансирования, и гарантия стабильного функционирования

Інновації в управлінні публічними фінансами сталого людського розвитку

is proved that peculiarities of countries with the social-oriented economy are defined by either sufficient costs for the social sphere maintenance and development, or also by their essential influence on the citizens’ welfare, as evidenced by the human development index, which is calculated on the basis of the citizens’ material situation indicators and social and demographic indicators. Countries with Scandinavian and Western European social and economic development models are in the category with the highest level of human development. It has been revealed that although the state provides great financial support for the social sphere in these countries, financing sources diversification of projects and programs in the educational and medical branches is growing, the insurance medicine and accumulative level of the pension system are being developed. In general, innovative approaches to the financing of social programs are often used. The reasonability to use the integral system of the economy financial control, further improvement of assumptions regarding institutional mechanisms to provide sustainable human development, which are purposefully used by state institutions, is proved. The proposed model and calculations help to prove marginal conditions of the social costs’ regulation of the State and local budgets of Ukraine, oriented to the human development. It is justified, that 10% is an optimal marginal norm of the annual rates regarding the relevant costs growth over the five years. Therefore, the annual decrease of the financing amounts over 10% of the financing amounts from the previous years are not accepted. It is emphasized that the financial management system of the sustainable human development has to be improved taking into account the public development priorities, economic cyclicity, the financial system transformations and the leading experience of the countries with the developed and transformational economy, in the first place in the application of innovative financial instruments of human development.Доведено, що особливості країн з соціально-орієнтованою економікою визначаються як достатнім обсягом видатків на утримання та розвиток соціальної сфери, так і їх суттєвим впливом на добробут громадян, про що свідчить індекс людського розвитку, який розраховується на основі сукупності показників матеріального становища населення та соціально- демографічних індикаторів. У категорії з найвищим рівнем людського розвитку традиційно перебувають країни з скандинавською та західноєвропейською моделями соціально-економічного розвитку. Виявлено, що, незважаючи на значні обсяги державного фінансового забезпечення галузей соціальної сфери в даних країнах посилюється диверсифікація джерел фінансування проектів і програм у освітній та медичній галузі, відбувається розвиток страхової медицини та накопичувального рівня пенсійної системи. Доведено доцільність використання цілісної архітектоніки фінансового регулювання економіки, подальше удосконалення положень щодо інституційних механізмів фінансового забезпечення сталого людського розвитку, які цілеспрямовано застосовуються державними інститутами. За допомогою запропонованої моделі та розрахунків доведено граничні умови управління соціальними видатками Державного та місцевих бюджетів України, що спрямовуються на людський розвиток. Обґрунтовано, що 10% є оптимальною граничною нормою щорічних темпів зростання відповідних видатків на п’ятирічному зрізі. При цьому встановлено недопустимість щорічного зменшення обсягів фінансування більше, ніж на 10% від обсягів фінансування попередніх років. Наголошено, що вдосконалення системи фінансового регулювання сталого людського розвитку має здійснюватися з урахуванням пріоритетів суспільного розвитку, економічної циклічності, перетворень фінансової системи та провідного досвіду країн з розвинутою та трансформаційною економікою

STATE REGULATION OF HUMAN POTENTIAL DEVELOPMENT IN TERMS OF IMPROVEMENT OF LIFE QUALITY

Abstract: Development of human potential was studied in terms of improvement of human life quality. The results of research into the analysis of the definition"human potential" in national and foreign scientific works dealing directly or indirectly with the regulation of human potential development in terms of inprovement of human life quality were generalized. The methods of historical, logical and comparative analysis, graphic and table methods were used. Based on the research results, the category of human potential was defined as a resource with several important constituents, such as health, ability to master and create new knowledge and technologies, freedom of economic choice which, provided certain opportunities and circumstances, may transform into creative work directed at the development of society and achievement of a beneficial social and economic result. A possible application of research was found to be state regulation of human potential development directed at the improvement of human life quality. Conclusions were drawn that the index of human potential development created by the UNO, as well as methodology for calculation of the human development regional index developed by the National Academy of Sciences of Ukraine constitute informative indicators of the condition of social development of Ukraine in comparison with other countries of the world community and may be applied for regional evaluations. Further research was found to be necessary into possible mechanisms of state regulation of social development spheres which in the future could sufficiently increase the integral value of the human potential index in our country