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ECONOMIC SCIENCES
Novruze Adilova
PhD in Economics, Associate Professor, Department of World Economy of the Baku State University ORCID: 0000 - 0003 - 4049 - 8539 VOD - 338
DOI: 10.24412/2520-6990-2021-32119-45-47 IN INCREASING THE EFFICIENCY OF THE REGIONAL ECONOMY THE ROLE OF
SPECIALIZATION
Abstract.
As a special form of employment, economic efficiency is of great importance. This process plays an important role in the development and development of regional economies, especially in the social and economic upgrades undertaken by the government. The issues outlined in the article have been thoroughly investigated and specific proposals have been made.
The article explains how to ensure sustainable social-economic development in the regions and to implement important issues facing the country's regional economy in a complex way.
The article examines the efficiency of economic activity as a special form of employment.
Keywords: graduation, social work, productivity, social-economic policy, and regional economy.
introduction
Ensuring the sustainable social-economic development of regions is considered one of the most important and urgent issues facing the country's economy. To that end, the main objective of multi-directional and broad-based measures undertaken in the regional economy is to ensure the complex and dynamic development of all regions, except for properly guiding the processes that are caused by both internal and external elements. By making the right and efficient use of existing potential, accelerating the pace of growth in various fields of agriculture in the regions, providing comprehensive assistance to economic activists with initiatives in the process, creating a viable business environment for achieving the goals set out, solving the poverty problem through improving the quality of life of the region's population, and improving our country's poverty problem Full increase in economic power is considered one of the most important and priority issues of an independent Azerbaijani state. [1]
In this regard, the effective implementation of government programs for the social-economic development of the Azerbaijani regions from 2004-2008, 20092013 and 2014-2018-2020 provides opportunities for timely and high-quality provision of the above issues. It is noteworthy that these programs, which include the sustainable social and economic development of not only the country's regions but also the continuous social and economic development of every administrative circuit and republican city in these economic regions, are aimed at accelerating the development of the non-profit sector, diversifying the economy, ensuring balanced social-economic development of regions, and improving the quality of life of the country's population as a whole, The Republic of Azerbaijan as well as the national economy are ensuring sustainable growth.
Providing Sustainable Social Economic Development in Regions
Ensuring the sustainability of the regional economy, as well as its efficient and quality-oriented development, the main goal of the current program in the State Program of Socio-Economic Development of the Regions of the Republic of Azerbaijan for 2014-2018 was noted. The main goal of the program will be the development of the non-oil sector in the country, the diversification of the economy, the continuation of measures for the rapid development of the regions, especially the further improvement of infrastructure and social services related to rural development. [2.s146]
To achieve this goal, the State Program envisages the consistent implementation of important tasks in the regions, such as further improvement of infrastructure, including utilities, accelerating the development of en-trepreneurship in the production of export-oriented and competitive products and continuing measures to reduce poverty. Maintaining macroeconomic stability in the country is important for achieving the goals set out in the State Program, as well as for the implementation of these tasks. Taking into account macroeconomic stability, the state budget policy will prioritize the modernization of priority sectors of the economy and the creation of conditions to ensure its efficiency and long-term sustainability, as well as further improvement of the investment climate. As the main source of economic growth, employment, budget and foreign exchange earnings, the non-oil sector will continue to play a strategic role in achieving balanced and sustainable economic growth and the formation of a high-income economy.
Regional economy; Covering the issues of formation and development of the country's economy in a complex and systematic way, it deals with the issues of effective provision of existing economic conditions and opportunities in this process in terms of production, distribution, exchange and consumption stages. Existing
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research shows that one of the important components of the socio-economic policy pursued by the state is its regional economic policy. The success of regional policy depends, above all, on the right choice of priority areas, the right direction of development, the right definition of regional development, the principles of fairness and efficiency in socio-economic development of the country and its regions. [3.s193]
The experience of the 70s and 80s of the 10th century is important in terms of the flexibility of regional economic policy, the correct coordination of the leading sectors of the economy with the development of other sectors. This period is characterized by the creative nature of socio-economic development and regional policy, flexibility along with general principles, change and development depending on the conditions. However, for obvious reasons, in the former USSR, regional structural policy was dominated by efficiency in terms of union interests, and the principle of fairness did not attract attention. The fact that the economy of the republic's internal regions at that time was highly specialized, taking into account the requirements of the former Soviet Union, is the strongest fact that confirms this fact.
Relevant measures taken in this direction include the implementation of the following areas, including the existing labor resources, ensuring the effective use of the natural and economic potential of each economic region, the creation of modern production and economic entities in accordance with regional specifics, increasing employment by creating new jobs. Proper use of non-oil and agricultural sectors, special attention to the development of infrastructure, accelerating the investment attractiveness of the country, especially the regions, as well as the formation of modern governance in accordance with local conditions and potential, living standards and poverty alleviation and other similar measures by raising the living standards.
The analysis shows that it is necessary to take the following measures to implement a successful development strategy of regional economic policy. These are the effective use of existing opportunities in the field of material, financial and employment of natural economic areas with the existing state support, increasing the region's sustainable socio-economic development based on quality orientation, ensuring intensive economic growth based on intensive factors, is to improve access opportunities, increase the ability to organize innovative production and economic processes. [4.s206]
A number of economists who touch on the content elements of the essence of the regional economy explain them differently, explaining the term itself from a different approach. For example, Doctor of Economics, Professor Elshan Hajizadeh uses the word region as a synonym for the word region and puts forward the term economic zoning. The following views of the economist are interesting: economic zoning includes the territorial structure of the productive forces arising from the specialized parts of the national economy and the interactions between them. This process is closely connected with the administrative-territorial system of the country, is formed as a result of the geographical divi-
sion of labor under the influence of factors of production, resource, social and political nature. Specialization is a determining factor here. Specialization promotes the advancement of areas of state importance in the regional advantage in the designation of certain types of production of goods and services in the division of labor, depending on the specific natural, historical, socio-economic characteristics of different parts of the country.
Economic zoning is structured in the following three main formative units;
1. Economic - as a specialized territorial part of the single national economy of the country, covering certain auxiliary and service productions;
2. In the context of combining historically traditional labor, culture, life and subsequent new creations of the national composition of the population of the national region;
3. In terms of strengthening the role of the country in the independent effective development and territorial division of labor by defining the administrative-territorial structure of the country and the unity of economic zoning.
In a broader classification, economic zoning is classified according to the following principles;
- The principle of independence - each region must have economic and social sovereignty, relative independence in solving strategic and tactical issues of social, economic and political development of the territory;
- The principle of self-development - the development of the regions should be ensured by the use of local contradictions and vice versa;
- The principle of self-sufficiency - along with the purchase of essential consumer goods and commodities from other regions, supply on the basis of the formation of a region based primarily on domestic production;
- The principle of representation - districts with low taxonomic ranks should be established not only separate functions of management to higher authorities, but also independent management bodies corresponding to separate objects and parts of the territory;
- The principle of self-government - free governance bodies should be established in each region in accordance with the established rights and functions;
- The principle of social legality - the rights of every person and the activities of all economic entities should be embodied in all relevant decisions that ensure active government and territorial development for municipalities;
- The importance of the specialization process in increasing the efficiency of the regional economy. Definition of specialization in the form of social division of labor
Specialization means the activity of producing one or more types of products or providing services using the existing natural and economic resources of individuals and legal entities, economic regions and the country as a whole. According to Natig Javadov, Doctor of Economics, specialization allows labor and material resources to be directed to the production of more efficient and more important products for society, ie the application of machinery, advanced technology
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and forms of labor organization, which ultimately makes production more important. as well as increase labor productivity and profitability.
Specialization, which is an important form of social division of labor, determines the participation of an economic entity in the production of various products. As a rule, specialization in the market economic system is carried out in the conditions of activity of objective economic laws of the society. Specialization is based on the daily growing needs of society, and therefore this process must be carried out taking into account the requirements of the law of supply and demand in the market. The market system allows to fully align the interests of producers with the general interests of society, to accurately determine its future composition, development trends in crop and livestock production, as well as the qualifications and professionalism of workers, to implement the level of specialization in different regions. All producers are interested in the development of higher-income sectors, increasing the volume of production and its commodity level. Because these factors allow the economy to grow rapidly. [5.s264]
Thus, the main purpose of specialization is to maximize the demand of the population for this or that product, achieving a continuous increase in production with minimal labor and capital expenditures.
The deepening of the social division of labor and specialization has a positive effect on increasing labor productivity, increasing the efficiency of the use of labor, and the economical use of labor. The deepening of specialization is also an important technical and organizational measure aimed at the transition to a form of efficient organization of production. This results in an increase in production, the same operation is repeated in one workplace, a tax is formed on the performance of one or another operation - labor productivity increases, and there is ample opportunity to use automatic and special machines in the workplace, as well as to improve their use. arises. In short, specialization - increases the quantity of products produced with the use of special equipment, improves the quality of products produced in connection with the development of labor skills of the worker. The specialization of production allows to increase its size to the optimal level, which in turn allows to apply high-performance equipment and technology to production, increase staff skills, establish stable relationships with suppliers and consumers, improve the organizational and production structure of the enterprise, etc. allows. Thus, increasing the efficiency of production on the basis of specialization is associated with the organizational, technical and economic measures implemented in the industry and the enterprise. In this regard, it is important to substantiate the optimal option of specialization and cooperation that provides maximum economic benefits. The main indicators of economic efficiency of specialization of production; savings on current production costs and transportation costs for its delivery to consumers; savings on capital investments and their maturity, annual economic benefits from the specialization of production, etc. aiddir. [6.s224]
As can be seen, the types of activities carried out in economic processes by sectoral and territorial elements involve the production of products in certain areas or within a narrow framework and the effective satisfaction of market requirements. Thus, in order to achieve the optimal level of regional specialization based on comparative advantages in the context of intensive development, the use of various economic regulatory instruments, including taxes, prices, credit and insurance, is strictly limited due to objective reasons. it is necessary to form a mechanism of differentiation and balance. Naturally, it is necessary to take targeted measures to differentiate and form a balanced economic regulation mechanism aimed at increasing the efficiency of the regional specialization system based on comparative advantages.
Result
The following conclusions have been drawn as a result of the study of the issues of increasing the efficiency of the regional economy and increasing the role of the specialization process.
- Complex measures aimed at sustainable socioeconomic development of the regions should be organized in a more efficient and purposeful manner, in accordance with the level of specialization, existing potential and economic opportunities of each area, as well as maximum proper use of opportunities;
- Measures taken in accordance with these objectives are conducive to the efficient placement of socioeconomic infrastructure elements by distribution, serving the full and comprehensive development of all economic regions, creating new jobs, especially production and processing, increasing the living standards of the population and improving living standards. should be allowed.
- Purposeful use of favorable natural and climatic conditions in the regions of the Republic of Azerbaijan, wide-ranging labor potential, various elements of the production and economic process, investment and innovation opportunities, as well as consistent government incentives; it may be possible to use different types and forms in a convenient way;
- A system of other adequate measures should be developed and implemented to expand and further strengthen the effective activities of many economic entities operating in accordance with the existing structure of the regional economy, etc.
References
1. "State Program of socio-economic development of the regions of the Republic of Azerbaijan in 20182020
2. "The Great Economic Encyclopedia. Volume 4.", Baku; East-West; 2012, 592 p.
3. Hajizade E.M. "Socialization economy". Baku, Science 2006, 509 p.
4. Cavadov N.E. "Structural changes in the agricultural sector." Baku, Science, 2009, 400 p.
5. Huseynov T.E. "Economics of the enterprise" Baku, Azerneshr, 2005, 560 p.
6. Guliyev EA "Reliable food supply system; problems of cooperation and integration ". Baku, Science, 2013, 308 p.
