Evolutionary transformations of social and economic systems

• Main Authors: Oksana Hordei, Bogdan Patsai
• Format: Article
• Language: English
• Published: Hryhorii Skovoroda University in Pereiaslav 2017-03-01
• Series: Економічний вісник університету
• Subjects: transformation; social and economic systems; strategy; system approach; economic benefit; social differentiation; standard of the population’s living
• Online Access: https://economic-bulletin.com/index.php/journal/article/view/217

Purpose. The object of research is interrelations and interdependence between structural elements of social and economic systems that were transform in the course of evolutionary changes of the international standards of the life’s quality. Methodology. The research based on study of system methodology in proving the objectivity of evolutionary transformations of social and economic systems. The basic methods used in the study – a general theoretical (analysis, synthesis, induction and deduction) to identify of the main principles of social and economic systems. We used an empirical method for the characteristic of the features of the system’s optimal structure in Ukraine. Results. The complexity of research explained by the multi-vector nature of the concept of economic and social development by consideration of transformational changes in social and economic systems. A large number of factors determine the level of the systems’ development, that is connected both with the economic prerequisites of functioning in a certain state, and with social: individualized (demographic, racial and ethnic, social and status) characteristics of the people. Factors that formed in the system characterized by a feature of their life cycle, the system of values of individuals and society in general, as well as the readiness, ability or inability, desire or unwillingness to bring economic effect in the process of their life. It follows in the process of combination the concept of development human potential and the concept of sustainable development which is interpreted as such a system of the organization of society that the needs of present generation occurs not to the expense of the opportunities to meet the needs of future generations. The basic principle of the natural capital, minimization of outer effects (externalities) for future generations is the basic principle of sustainable development. These two approaches sometimes combined in the form of the concept of sustainable human development, which should be the basis for optimum structure of social and economic system. Practical implications. The results of the study can be used in industries such scientific knowledge as finance, money and credit, sociology, social sector that allows to study the making elements of difficult social and economic systems and to optimize its structure in Ukraine for increase in the standard of the population’s living. Conclusions. The developed countries have a relatively balanced structure of the social and economic systems. They have functional infrastructure, solid middle class, active small and medium business. Many other countries including Ukraine characterized by extremely low level of the income both in economy, and at the population, and extraordinary polarization of society. In general, considering the main differences between the postindustrial and industrial countries, it is possible to allocate the special reasons for the social differentiation of the population, characteristic of the last that will allow transforming inefficient social and economic systems.