DEVELOPMENT OF THE SOCIALLY-ORIENTED ECONOMY IN UKRAINE: PREREQUISITES AND STRATEGIC FORECASTING

• Main Authors: Nataliia Kravchuk, Liudmyla Tarasovych, Maryna Yaremova
• Format: Article
• Language: English
• Published: Izdevnieciba “Baltija Publishing” 2017-11-01
• Series: Baltic Journal of Economic Studies
• Subjects: socially-oriented economy; society; model; prerequisites of formation; development prospects
• Online Access: http://www.baltijapublishing.lv/index.php/issue/article/view/177/183

The purpose of this article is to substantiate prerequisites and prospects for the formation and development of the socially-oriented economy in Ukraine. The theoretical and methodological background to the research is system and synergetic scientific approaches, which use in the research of the development of a socially-oriented economy is determined by orientation to basic values and fundamentals of the market economic system and focus on building a democratic society in Ukraine. Scientific results – it is substantiated that in modern conditions of transformational changes, a strategic course of Ukraine is to combine mechanisms of market selfregulation and state regulation, which in its basis is based on principles of socially-oriented economy. Such a model of the economy is focused on a human along with its needs and interests, relations with other members of society during production, distribution, exchange, and consumption. At the same time, social orientation foresees providing high productive economic management that configures private initiative and competition. Results of conducted analysis of analytical indicators of socio-economic development of Ukraine show an urgent necessity and objectivity of forming a socially-oriented economy. It is proved that taking into account increase in openness of the national economy, it is appropriate to consider strict conditions concerning its adequacy to requirements of the current international competition. In this relation, there are analysed vectors of the formation of the socially-oriented economy in Ukraine declared by the Strategy of Sustainable Development “Ukraine – 2020” within which a key reference point is an introduction in the country of European standards of living and its achieving a dominant position in the world. An economic platform of the formation and development of the socially-oriented economy is determined the following: providing economic freedom; availability of different types of business; development of competition; formation of a free pricing mechanism; creation of market and social infrastructure; formation of a model of the open economy. In addition, tools and measures of socioeconomic policy of the state are: transparency of activities of public authorities at all levels; focus of investment flows on an implementation of the nation’s social potential and improvement of the population quality of life; priority of development of a transparent competitive area; demonopolization of business environment; strict control over the compliance with the international practical requirements; successive narrowing a sphere of influence of shadow economy and rooting out corruption; power consolidation and efficient cooperation of all its branches; solving a problem of a conflict in the southeast of Ukraine. Practical implication of the scientific results lies in the fact that the substantiated prerequisites and prospects for the formation and development of socially-oriented economy in Ukraine will contribute to the organization of public production that will combine efficiency of market mechanism and principles of self-organization on the basis of accentualization on achieving high standard of living for all segments of the population.