INSTITUTIONS AND ECONOMIC MECHANISMS OF STABILITY AND DEVELOPMENT OF SOCIETY

In: Ėkonomika Ukrai͏̈ny: naučny žurnal Nacional'noi͏̈ akademii͏̈ nauk Ukrai͏̈ny i Deržavnoi͏̈ ustanovy "Institut ekonomiky ta prohnozuvannja NAN Ukrai͏̈ny" = Economy of Ukraine, Band 2018, Heft 9, S. 13-25

Abstract

Institutions, organizations, economic mechanisms and instruments of social stability and development and their comprehensive interconnection and complementarity are considered. It is shown that in Ukraine's economy such a system operates in the presence of a wide range of restrictions and endogenous and exogenous risks. The importance of economic stability as an important and necessary resource for social development is emphasized. The institutions of stability include: the rule of law, security of property rights, legality and law and order, protection of consumer rights, support for freedom of contract, intellectual property rights and protection of labor rights. Institutions of development are, first of all, development of competition, stimulation of innovations and high technologies, encouragement of business to modernize and re-engineer and security of private investment. Analysis of institutions and analysis of mechanisms are combined. The central importance is attached to the content of the relevant economic mechanisms, the actors who bring these mechanisms into action and the motives (incentives) with which these actors are guided in their activities. The main features of the so-called "mechanism of simulation (illusion) of social development", typical for many developing countries, are revealed. The theoretical and methodological platform for ensuring a high level of social stability and development priority in Ukraine is substantiated.