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LOCAL PUBLIC GOOD AS A FACTOR OF SOCIAL AND ECONOMIC DEVELOPMENT OF REGIONS
Zhuravlova Yu.O.
Odessa National Economic University, Candidate of Sciences in Public Administration (PhD),
Doctoral Student
ABSTRACT
In article studied the nature of local public goods which are characterized not rivalry, not exclusion, territorial limitations, have a social external effect. In conditions of decentralization of local government can be seen as a special institution, whose activities are directed at providing the population with local public goods, including, except organization of work municipal services, economic development potential relevant territory, investment climate, favorable ecological situation.
Keywords: public goods, local public goods, decentralization, local governments.
Concept of reforming the local government and territorial organization of power in Ukraine provides, in particular, the distribution of powers between local governments on the principle of subsidiarity and giving communities the widest terms of reference [1].
Belong to the tasks of the first phase reforms is systematization and streamline the system of providing public services by local governments, the development of a wide range of harmonizing the interests of the center and the regions, including the formation of policies, programs and plans for regional development [2, p.3].
In connection with this comes to the foreground special kind of public goods, by consumers whose are inhabitants of a separate region, territory, city or district, etc. - local public goods. In economic theory, local public goods are considered as the specific benefits of collective consumption for any single geographical location. The classification of public goods used by a number of characteristics, one of the which related to the specific territorial coverage.
It should be noted that at the present stage of economic development is not enough attention is paid to the study and analysis of local public services and their impact on public welfare, particularly in the region, especially in conditions decentralization.
For the first time the problem of formation of local collective needs mentioned by the German economist Adolph Wagner, which formulated law to increase the share government expenditures in social product, based on such assumptions as a growing population and urbanization, according to which must growing number of hosting decisions on the redistribution of budget revenues for social needs [3].
The term "local public goods", was introduced in the academic economic literature, American economist Charles M. Tiebout in 1956. He argued that there is a class of public good, local public good for which there is a decentralized mechanism for achieving optimal allocations. According to model Tiebout, each local community or jurisdiction provides a combination of public goods. Those who live in jurisdictions receive benefits from these products and pay for them through taxes, which is levied identically on each taxpayer. No interaction between jurisdictions. Charles M. Tiebout drew attention to the processes of migration and "voting legs" - the movement of individuals from one region to another as a result of their evaluation and comparison of the number of social benefits they receive and the taxes they pay to finance. Thus, regions where sufficient autonomy they can act as competitors in the fight for residents, by providing a set of local public goods [4].
Anthony Atkinson and Joseph Stiglitz believed that "some public goods spatial constraints may not be available... for other - total profit, although it is available for new residents without any additional costs, but limited to one local community ... " that local public goods - it is "benefit, specific to any single geographical location." Consumers in the decision regarding his place of residence can make choices about the number and types granted of public goods [5, s.699]. The economic effect of public goods available to new permanent residents without any additional cost to the public. Their action beneficial effects limited to one local community (district).
David M. Nowlan notes that the city park, area roads, fire station, school available to all in the com-
munity, but for any given level of infrastructure and the more intense the person using the facility, the less accessible and useful he becomes for others [6].
Measuring social value of local public goods for example metropolitan area of Paris carried out Nicolas Gravel, Alessandra Michelangeli and Alain Trannoy [7]; market of local public goods exploring Bryan El-lickson [8] and H. Spencer Banzhaf [9]; interconnection between the local public good, debt and immigration are the focus of Christian Schultz and Tomas Sjostrom [10]; efficient provision of local public goods and services is considering Holger Sieg [11] and others.
In opinion Kalashnikova T.M., "in modern understanding local public goods - is services, provided by the infrastructure of settlements. In the case of the city - a system of water, electricity, heat and gas supply, public passenger transport, road network, sewage system, fire service, municipal services (law enforcement, medicine, education). Local public goods available to others only, when they are in the relevant territory "[12].
Kamenev N.A. results in the classification of local public goods according to the degree of manifestation of the properties public goods - not exceptional and not competitiveness. Selects of local types of benefits: public, club and private relatively good [13].
Thus, local public goods - is group of goods and services to which access has a full population of the region, city or district. They are characterized by no rivalry, not exclusion, geographically limited, with social external effect that benefits, received by society as a whole at present and in the future.
Procuring of local public goods defines the simple, extended or narrowed type of reproduction, economic and social processes territory; sufficient level of creating not only short-term, but also long-term effect, because of the presence of connection with the priority social needs.
Examples of local public goods are fire protection, public passenger transport, regional environmental programs, street lighting, traffic lights, garbage collection and so on. With things being equal, one person has a much more real wealth than the rest if living near the best climate, environmental conditions, roads, water quality, public health organization, sports, entertainment and more.
At the same time for those who are not part of the territorial community not exclusion does not apply to that person who does not live in the area, the same good are not available. In this case, the prerequisites creation of such good may be formed on the basis of self-organization interested individuals.
Realization additional effect of integrating the various economic activities possible within the highly social and economic systems - large cities (metropolitan areas), which, unlike the small and medium-sized cities have a number of competitive advantages for the population of the surrounding area are the centers of social and economic activities, education, science, culture, medicine and so on.
As a result of monitoring migratory movements youth educational factor in regions Ukraine in 2016 to
higher educational institutions (hereinafter - Universities) Odessa region counted 66% (6743 persons) -Odessa area residents and 34% (3474 people) - residents of other regions. The largest number of students enrolled from Mykolayiv (597 people), Vinnitsa (326 people), Kherson (282 persons) regions and the smallest (29 people) - from Sumy region. Of the total enrolled, who live in Odessa region - 62% (4180 people) residents of urban areas; 38% (2,563 people) - residents of rural areas [14].
Thus, the Odessa region is attractive for residents of other areas of educational services, particularly in higher education. In the case of higher education Odessa can be noted that the development of Odessa is including due to migration from rural areas and small towns, rather than due to the high birth rate.
In general, according to the State Statistics Service of Ukraine in 2016 observed migration gain in two cities-millionaires Ukraine, Kyiv (current population as of 01.01.2017 - 2 925 761 persons; increase -13288 persons, Odessa (current population as on 01/01/2017 - 1,010,783 people; increase - 3109 people) [15].
At the same time along with the competitive advantages there are some negative effects of the concentration of economic activity in large cities of: contamination of the environment, congestion of land transport, increase the time required to travel intraurban more.
Decentralized decision-making may be associated with localized benefits from the production of public goods. The inhabitants of different regions may require different public goods whose production requires different resources. For example, the benefits of the development of green spaces (parks, gardens) are residents of a particular area; water supply, construction of treatment facilities, etc., required directly to residents in the territory of the city or region. However, the benefits of the availability of National Defence receive every resident of the country.
Thus, local governments have to make decisions based on the specific situation where for one purpose are made different or the same public goods, that require different costs.
The main purpose of the urban economy is the provision of public, mixed, some types of private goods to residents, the creation of urban infrastructure and so on. In advancing their representatives to local government, residents of a particular territory theoretically prioritize the formation of the urban economy.
Local governments are directly related to the functioning of the institutional environment, as can be found ways to enhance personal interest in the production public goods is through effects on these subjects.
In 2016 the sociological group Rating conjunction with the International Republican Institute, funded by the Government of Canada conducted research to assess municipal residents Ukrainian cities the quality of services of local authorities and other indicators that determine quality of life. Data were collected in 24 cities of Ukraine (Kyiv and all regional centers, in Donetsk region - Mariupol, in Lugansk - Severodonetsk) by using face-to-face interviews at home with
respondents. Total sample: 19.200 interviews (800 in each city). Target audience - Ukraine permanent residents aged 18 years and older. The sample is representative of the urban population by age and sex. To ensure the representativeness of the sample was divided according to the division of the city in the Central Election Commission constituencies. Covered at least 50 stations (50 pre-selected points) in each city. They were randomly selected according to specific steps. For sampling used random route and rule birthday. The respondents evaluated their standard of living by 21 criteria concerning the local economy and financing, quality pavements; garbage collection; sewerage; medical services; transport infrastructure and public transport; street lighting; road; development of industrial zones; Sports (stadiums, sports clubs, skating rinks, etc.); Institutions (universities, colleges, technical); school; kindergartens; cultural establishments (concert halls, libraries, etc.); markets and trade institutions; green areas (public parks and gardens); courtyards and green areas; the police (militia); water sup-
ply; ecology and environment; parking; heating. The top five are: Vinnitsa (20 categories), Kharkiv (14), Lviv (12), Khmelnytsky (9), Lutsk (8), and Ternopil (7). In first place is Vinnitsa (8 categories: quality of sidewalks, roads, development of industrial zones, sports (stadiums, sports clubs, skating rinks, etc.), Institutions (universities, colleges, technical schools), courtyards and house territory, ecology and environment; parking); the second - Kharkiv (6 categories: garbage collection, sewerage, street lighting, markets and trade institutions, green areas (public parks and gardens), heating); the third - Khmelnitsky (4 categories: medical services, schools, kindergartens, cultural establishments (concert halls, libraries, etc.), the fourth - Lviv (2 categories: the work of police (militia), water supply); the fifth - Severodonetsk (1 category: transport infrastructure and public transport) [16, p. 54-74]. The data for the composite index of quality of care and services in regional centers presented in Fig. 1.
Vinnitsa
Kharkiv j | | | | | | I 3,2 Lviv I 3,2 Lutsk | "p 3,1 Khmelnytsky I-,-,-,-,-,-ZD 3,1
Ternopil I i i i i i I 3,0
Rivne I 3,0
Mariupol | i i i i i 3,0
Cherkasy I , , , , , ] 3,0
Poltava | I 2,9
Ivano-Frankivsk | | | | | "I 2,9
Severodoneck I , , , , , I 2,9
Zhutomir I , , , , , ID 2,9
Kyiv 1 I 2,9 Chernivci Uzhgorod Sumi Dnipro Kropivnytsky Chernigiv Zaporizhja Odessa Herson Mykolayiv
0 0,5 1 1,5 2 2,5 3 3,
Fig. 1. The composite index assessing the quality of ministering and services in regional centers of Ukraine * * Where 1 means a "terrible"; 2 - "bad"; 3 - "medium"; 4 - "good"; 5 - "excellent" Source: [16, p.53].
As you can see from Fig. 1, a leader in the composite index assessing the quality of ministering and the services defined Vinnytsya (3.4). The top five also includes Kharkiv (3.2), Lviv (3.2), Lutsk (3.1) Khmelnitsky (3.1); the lowest index in Mykolayiv (2.5).
Thus, local government may be regarded as a special institution, whose activities are directed at providing the population with local public goods, including not only the organization of municipal services, but also the economic potential of relevant territory, investment climate, favorable ecological situation, etc.
References
1. On approval of the Concept of reforming the local government and territorial organization of authorities in Ukraine, the Cabinet of Ministers of Ukraine from 01.04.2014 № 333-r - [electronic resource]. - Access mode: http://zakon4.rada.gov.ua/laws/show/333-2014-%D1%80
2. The decentralization of authorities and local government reform in Ukraine - [electronic resource]. - Access mode:
http://newukraineinstitute.org/media/news/528/file/D Decentral-15-1.pdf
3. Dyadunov D.V. Local public goods - theoretical basis of the category "municipal order" - [Electronic resource]. - Access mode: http://ecsn.ru/files/pdf/201408/201408 28.pdf
4. Tiebout Charles M. A Pure Theory of Local Expenditures / Charles M. Tiebout// Journal of Political Economy, LXIV, 1956.
5. Atkinson E.B. Lectures on the economic theory of public sector / E.B.Atkinson, J. E. Stiglitz // M.: Aspekt Press, 1995.- 832 p.
6. David M. Nowlan A Short Essay on Local Public Goods https://uwaterloo.ca/economics/sites/ca.economics/file s/uploads/files/a short essay on local public goods. pdf
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8. Ellickson Bryan Local Public Goods and The Market for Neighborhoods. - [Electronic resource]. -Access mode: http://www.econ.ucla.edu/workingpapers/wp100.pdf
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http://scholarlYcommons.law.case.edu/cgi/viewconten t.cgi?article=1157&context=
10. Schultz Christian, Sjöström Tomas Local Public Goods, Debt and Migration. - [Electronic resource]. - Access mode: http://www.econ.ku.dk/epru/files/wp/00-11 .pdf
11. Sieg Holger Efficient Provision of Local Public Goods and Services. - [Electronic resource]. - Access mode: http://www.sas.upenn.edu/~holgers/urban/eff local p ublic goods.pdf
12. Kalashnikova T.M. Providing geographically localized goods in the context of human development /T.M.Kalashnikova// Demography and social economy, 2015.- № 1 (23) .- P. 102 - 112.
13. Kamenev N.A. Typology of local public goods / N.A. Kamenev // Bulletin of Saratov State Socio-Economic University. - 2011. - № 2 (36). - P. 22-26.
14. The Council of rectors of higher educational institutions of Odessa region .- [electronic resource] .Access: http://www.rectors.odessa.ua
15. State Statistics Service of Ukraine. - [Electronic resource]. - Access mode: http://www.ukrstat. gov.ua/
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АСПЕКТИ АНТИКРИЗОВО1 ПОЛ1ТИКИ СВРОПЕЙСЬКОГО
СОЮЗУ
Колтець Л.Б.
Тернотльський нацюнальний eKOHOMinmu утверситет, Укра'ша докторант кафедри мiжнародноï економки, к.е.н, доцент,
ASPECTS OF THE EU CRISIS POLICY
Kolinets L.B.
Ternopil National Economic University, Ukraine, doctoral student of Department ofInternational economy,
Ph.D, Associate Professor
АНОТАЦ1Я
Розглянуто причини виникнення фшансово! кризи та и наслщки для кра!н СС. Подолання кризових явищ в СС вщбулося завдяки широкому спектру антикризових дш. Представлено структуру антикризово! полггаки СС та проаналiзовано антикризовi заходи. Фшансова криза висвилила проблему недостатньо! координацп фшансового регулювання в СС.
ABSTRACT
It is considered the causes of the financial crisis and its consequences for the EU. Overcoming the crisis in the EU is due to a wide range of anti-crisis measures. It is shown the framework of EU crisis policy and analyzed the anti-crisis measures. The financial crisis has highlighted the problem of insufficient coordination of financial regulation in the EU.
Ключовi слова: фшансова криза, антикризова полггака, грошово-кредитна полггака, Свропейський Центральний Банк, СС
Keywords: financial crisis, crisis policy, monetary policy, the European Central Bank, EU
Економiчний спад, що спостер^ався у шнщ ною диспропорцюнальшстю свггово! економiки, ХХ ст. у б№шосп кра!нах свпу, як наслвдок свь виявленою в дисбаланс розвитку як окремих кра-тово! фшансово! кризи, у сукупносп зi структур- !н, так i сфер економши, сввдчить про необхвднють
