Sciences public goods and their impact on social- economic development of country Текст научной статьи по специальности «Экономика и бизнес»

ECONOMIC SCIENCES

PUBLIC GOODS AND THEIR IMPACT ON SOCIAL-ECONOMIC DEVELOPMENT OF COUNTRY

Zhuravlova Yu.O.

Odessa National Economic University, Candidate of Sciences in Public Administration (PhD),

Doctoral Student

ABSTRACT

The article examines the impact of such public goods as the environment and health on the country's socioeconomic development. It is noted that the common vision of Ukraine's development covers such benchmarks for achieving the welfare and health of the population that will be provided by the innovative development of the economy, built on the sustainable use of natural resources. It is concluded that the state should first of all pay attention to the public goods, which are related to the impact on the life expectancy of a person, his health, knowledge, that is, with human development.

Keywords: public goods, financing, environmental protection, health care.

The World Economic Forum gives Ukraine 77th place out of 144 countries rated at the Global Competitiveness Index, due to corruption, and the continued use of natural resources. Thus, Ukraine's economy may lose up to 11% of GDP as a result of the influence of these negative factors. Only because of the high level of atmospheric air pollution Ukraine can lose up to 15% of the harvest. According to the World Health Organization, every two hours in Ukraine three people die due to poor environmental conditions [2].

Environmental protection - any activity aimed at preserving and restoring the quality of the environment by preventing emissions or reducing the amount of pollutants in the habitat. Costs of environmental protection - amount of current expenditures and capital investments aimed at protecting the environment [3].

Table 1.

Dynamics of financing of environmental protection according to the Consolidated Budget of Ukraine in 2012-2016

Summary data Years

2012 2013 2014 2015 2016

Consolidated Budget Expenditures, thsd. UAH 496310962,8 505843809,6 523125697,8 679871400,4 835832050,1

including expenditures on environmental protection, thsd. UAH. 5 297 929,3 5 594 185,5 3 481 749,6 5 529 695,6 6 255 416,9

% to expenditures 1,1 1,1 0,7 0,8 0,8

At the United Nations Summit on Sustainable Development, held in the framework of the 70th session of the UN General Assembly in 2015, the document "Transforming our world: a sustainable development agenda to 2030" was adopted. The document approved new development benchmarks, namely, approved 17 Sustainable Development Goals and 169 tasks. Ukraine, like other UN member states, has joined the global security process sustainable development. The public vision of Ukraine's development until 2030 includes such benchmarks for achieving the welfare and health of the population that will be provided by the innovative development of the economy, built on the sustainable use of natural resources [1, p.9].

Source: [4-6].

Analysis of Table 1 shows that expenditures on environmental protection during 2012-2013 have increased by 296256.2 thsd UAH; in 2014 there is a decrease in expenditures - by 2112435.9 thsd UAH relatively to 2013. During 2015-2016, we see an increase

in expenditures - up to 6255416.9 thsd UAH. Thus, during 2012-2016, expenditures on environmental protection increased by 957487.6 thsd UAH. At the same time, during the investigated period, we see a tendency to reduce % of environmental protection expenditures from 1.1% in 2012 to 0.8% in 2016.

Other sources; 26,10%

Funds state and local budgets; 6,00%

Own funds enterprises and organizations; 67,90%

Fig. 1. The structure of expenditures on environmental protection by sources offinancing in 2016 Source: [3].

As we can see from Figure 1, environmental protection costs are mainly due to own funds of enterprises and organizations - 67.9%; at the expense of state and

local budgets, only 6.0%. This indicates the lack of attention of the state and local authorities to such an important branch as environmental protection.

25000 20000

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13966,2

13965,7

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6015,7 -ir

7959,9

7675,6

2586,7

2010

2011

2012

2013 years

2014

2015

2016

capital investment, total M current expenditures on the main environmental measures, total

Fig. 2. Capital investments and current expenses on environmental protection, mln UAH

Source: [3].

The analysis of Figure 2 shows that in the period from 2010 to 2016, current environmental protection expenditures and capital investments increased almost yearly. A slight decrease in current expenditures on environmental protection measures is observed in 2014 relatively to 2013 (0.5 mln UAH); capital expenditures

- in 2015 relatively to 2014 (284.3 mln UAH). In total, during the investigated period, current environmental protection expenditures in UAH equivalent increased by 8981.4 mln UAH, and capital investments by 10803,8 mln UAH.

2000 -|

1800 -

1600 -

u m 1400 -

•S 1200 -

S 1000 -

800 -

600 -

400 -

200 -

0 -

1691,2

1747,9

1470,5

1274,2

1174,6

749,

791,5 A -

752,9

774,5

747,5

669,5

325,8-

351,4

Î524T

2010

2011

2012

2013

years

2014

2015

2016

■ capital investment, total -■— current expenditures on the main environmental measures, total

Fig. 3. Capital investment and current expenses for environmental protection, mln USD

Source [3].

At the same time, data in Figure 3 shows that due to the sharp decline in the national currency rate over recent years, converted into US dollars, current environmental costs and in the period from 2010 to 2016 decreased from 1274.2 mln USD to 747.5 mln USD, that is 526.7 mln USD. Capital investment, on the contrary, increased from 325.8 mln USD in 2010 to 524.1 mln in 2016, i.e. by 198.3 mln USD.

At the same time, from 2010 to 2013 there is a tendency to increase current expenses on environmental protection to 1747.9 mln USD, i.e. by 500.7 mln USD in relation to 2013. From 2013 to 2016, we see a sharp decrease in costs - by 1000.4 mln USD.

Growth of capital investments is for the period from 2010 to 2012 - to 791.5 mln USD, that is 465.7 mln USD. Thus, in 2012 there is the highest capital investment - 791.5 mln USD. From 2012 to 2015 there is a decrease in capital investment - by 440.1 mln USD.

In 2016, we see an increase by 172.7 mln USD compared to 2015.

Ukraine has one of the worst indicators among health care systems in the European region. As regards the health of citizens, Ukraine is one of the lowest ranking places in the European region. In the ranking of the health status of citizens of different countries, as identified by Bloomberg Agency in 2013, Ukraine ranked 99th among 145 countries assessed for the world [7].

In addition, Ukraine ranks second in the European region in terms of mortality, which increased by 12.7% in the period from 1991 to 2012, while in the European Union, this index fell by 6.7%. In addition, one quarter of total mortality is the death rate among the able-bodied population (and for men it is one third of all deaths, they have a three to four times higher probability of death than women in all age groups from 16 to 60 years old) [8].

Source: [9].

Fig. 4. Quantity of deceased for reasons to death in 2016

Data of Figure 4 shows that mortality from the disease of the circulatory system is 67.2% in the structure of total mortality, and mortality from oncological diseases - 13.5%. In fact, these two classes of diseases determine 80% of the annual loss of the population of Ukraine.

Compared to the European countries, the mortality rate in Ukraine is almost twice as high (14.7 cases per 1000 population versus 6.7 in the countries of the European Union) [7].

Source: [9].

10 2030 40 50 00 70 00 90

years p

ig. 5. The average life expectancy at birth for men, 2015.

Analysis of Figure 5 shows that the average life expectancy at birth for men in Ukraine in 2015 was 66.4 years, which is lower than in the countries of the European Union. The highest average life expectancy at

birth in men is observed in Sweden (80.4 years), Italy (80.3 years), Luxembourg (80.0 years) and Ireland (79.6 years).

Source: [9].

n bo

yon

Fig. 6. The average life expectancy at birth for women, 2015.

As Figure 6 shows, the average life expectancy at birth for women in Ukraine in 2015 was 76.3 years, which is also lower for the countries of the European Union. The highest average life expectancy at birth in women is observed in Spain (85.8 years) and France (85.5 years).

Recently there have been critically low levels of coverage of the infant population by prophylactic vaccinations. According to a joint assessment by the World Health Organization and UNICEF in 2016, Ukraine was in second place among the countries with the lowest immunization coverage worldwide [10].

Thus, as of December 1, 2015, vaccinations for children under one year are covered against: tuberculo-

sis - only 38.7%, poliomyelitis - 44.3%, pertussis, diphtheria, tetanus - 25.7%, hemophilic infection - 42.7% , measles, mumps, rubella - 60.9%, hepatitis B - 23.9%). The real threat was the emergence of infections, the incidence of which was reduced to isolated cases (diphtheria, tetanus, etc.) and for which considerable efforts were made to eliminate them (measles, poliomyelitis) [7].

However, as of November 1, 2017, 2381 persons have suffered measles in Ukraine, which is 70 times more than last year. For the most part, children are ill, but many cases of the disease are recorded among adults. There are two deaths from complications among children.

The highest rates of disease in the western regions and in the Odessa region, which gradually spread to other regions. During the 10 months of 2017, 877 people were ill in Ivano-Frankivsk region, 767 people were in Odessa, 265 were in Transcarpathia, 96 in Ternopil, and 61 in Lviv. In Kiev, there were 53 cases of measles, compared to last year only two were ill. Of the total number of people who suffered from measles, 1804 are children under the age of 17. Most of the patients - over 86% - are those who were not fully protected by the vaccine [10].

Dynamics of health care financing b

in 20

In addition, during the past three years, group outbreaks of intestinal infections have increased. This is affected by inappropriate nutrition, consumption of low-quality water, tobacco smoke, etc.

According to Article 49 of the Constitution of Ukraine, in state and municipal institutions of health care, medical assistance is provided free of charge [11]. Health care is provided by the state financing of the corresponding socio-economic, health-sanitary and health-prevention programs.

Table 2.

the Consolidated Budget of Ukraine -2016

Summary data Years

2012 2013 2014 2015 2016

Consolidated Budget Expenditures, thsd. UAH 496310962,8 505843809,6 523125697,8 679871400,4 835832050,1

including health care expenditures, thsd. UAH. 58453930,7 61568770,9 57150071,1 71001121,1 75503434,7

% to expenditures 11,7 12,2 10,9 10,4 9,0

% to GDP 7,47 7,60 7,42 7,81 6,9

Source: [4-6].

Total expenditures on health care per capita amounted to 1 850.3 UAH in 2010 to 3,630.0 UAH in 2015 [10].

In the international comparison, the share of public health expenditures in Ukraine can be considered lower than the average for some countries of the European Union.

Table 3.

Total costs of health care in different countries

As we can see from Table 2, during 2012-2016 total expenditures for the Consolidated Budget of Ukraine on health care in the hryvnia settlement increased by 22.6%. At the same time, they have decreased by almost 60% in real dollar terms.

"Total costs of health care" to GDP (2014), % Private expense on health care to "Total costs of health care" (2014),% Government expenditures on health care to "Total costs of health care" (2014),%

Ukraine 7,8 50,9 48,7

Bulgaria 8,4 45,4 54,6

Romania 5,6 19,6 80,4

Poland 6,4 29,0 71,0

Slovakia 8,1 27,5 72,5

Czech Republic 7,4 15,5 84,5

Hungary 7,4 34,0 66,0

Germany 11,3 23,0 77,0

Estonia 6,4 21,2 78,8

Spain 9,0 29,1 70,9

Denmark 10,8 15,2 84,8

Source: [12].

The analysis of Table 3 shows that the system of general health expenditures consumes total expenditures in the amount of almost 7.8% of Ukraine's GDP, which exceeds the indicators of some European Union countries such as Romania (5.6%), Poland (6.4 %), and Estonia (6.4%). At the same time, in terms of public expenditure on health care financing, Ukraine continues to significantly outperform the vast majority of European countries, such as Denmark (84.8%), the Czech Republic (84.5%), Romania (80.4%), Estonia (78.8%), Germany (77.0%), and others.

Thus, we can conclude that the issues of environmental protection to this time in Ukraine are not yet sufficiently high priority. At the same time, the report of the European External Action Service and the European Commission (2017) states that "the implementation of structural reforms in Ukraine has led to positive trends, in particular, in such areas as environment, health care [2].

In our opinion, among the public goods it is impossible to distinguish the goods that are important, and which are secondary. But, we believe that the state

should first of all pay attention to public goods, which are related to the impact on the life expectancy of a person, his health, knowledge, that is, with human development. Such investments in a person should be considered not only as a "spending" of budget funds, but also as social investments, since they acquire more importance in the structure of national wealth.

References

1. National Report "Sustainable Development Goals: Ukraine". Ministry of Economic Development and Trade of Ukraine, 2017.- 174 p.

2. Official site of the Ministry of Ecology and Natural Resources of Ukraine. - [Electronic resource]. - Access mode: https ://menr. gov.ua/news/31775. html

3. Statistical digest "Environment of Ukraine 2016." - Kyiv, 2017.- 226 p

4. Statistical digest "The Budget of Ukraine 2016". Kyiv, 2017.- 316 p.

5. Statistical digest "The Budget of Ukraine 2015". Kyiv, 2016.- 308 p.

6. Statistical digest "The Budget of Ukraine 2013". Kyiv, 2014. - 244 p.

7. Recommendations of the parliamentary hearings on the topic "On Health Care Reform in Ukraine" : Resolution of the Verkhovna Rada of Ukraine dated April 21, 2016 No. 1338-VIII.- [Electronic resource]. -Access mode: http://za-kon3.rada. gov.ua/laws/show/1338-19

8. National strategy for reforming the health care system for the period 2015-2020. [Electronic resource]. - Access mode: http://uoz.cn.ua/strategiya.pdf

9. The demographic yearbook "The Population of Ukraine for 2016". - Kyiv, 2017.- 102 p.

10. Official site of the Ministry of Health Сare of Ukraine .- [Electronic resource]. - Access mode: http://moz. gov.ua/article/news/

11. The Constitution of Ukraine. [Electronic resource]. - Access mode: http://za-kon2.rada. gov.ua/laws/show/

12. National Accounts of Health Care (NAHC) of Ukraine in 2015. Statistical Bulletin / State Statistics Service of Ukraine. - Kyiv, 2017.- 144 p.

РЕШЕНИЕ ПРОБЛЕМЫ РЕГИОНАЛЬНОГО УСТОЙЧИВОГО

РАЗВИТИЯ

Пшунетлев А.А.

Академия маркетинга и социально - информационных технологий (ИМСИТ), доцент

THE SOLUTION TO THE PROBLEM OF REGIONAL SUSTAINABLE DEVELOPMENT

Pshunetlev A.A.

Academy of marketing and socially - informational technologies (IMSIT), associate professor

АННОТАЦИЯ

Статья расширяет пространство устойчивого развития, приближает гибкие политики, полученные в центральных работах в области устойчивого развития, к рекомендациям, основанным на территориально специфичной информации. Настоящее исследование представляет решение проблемы регионального устойчивого развития (РУР), представляет аналитическую, нормативную рамку с позиции мезо региональной перспективы. Промежуточная панорама позволяет широко взглянуть и целостно управлять различными направлениями этой сложной проблемы, с фокусом на роль межправительственных отношений, в особенности трансфертов, в достижении устойчивости развития, межрегионального равенства, пространственной стабильности, сохранности человеческого капитала, природных ресурсов и состояния окружающей среды. Границы модели охватывают социальные, экономические, энвайронментальные, экологические аспекты, приглашая данные доступные в каждом регионе. С ее помощью, проведено эмпирическое исследование, которое охватило территорию Кубани, в южной части России. Аналитические средства, системный подход, методология системной динамики, равновесный анализ, пороговые значения, позволили сформулировать удовлетворительную политику устойчивого развития, даже в сложной и динамичной среде.

ABSTRACT

The paper's contribution is supposed to be widening the domain of sustainability, bringing closer flexible policies, derived in the field's landmark works, to procedures being grounded on a territory specific information. This study presents the solution to the problem of regional sustainable development (RSD). It extends an analytical normative framework, from a meso regional perspective. The intermediate panorama allows for a broad consideration and cohesive handling of various ramifications of this complex issue, with a specific emphasis on the role of intergovernmental relations, particularly transfers in achieving sustainability, interregional equity, spatial stability and preservation of human capital, natural resources or environmental quality. The comprehensive model encompasses social, economic, environmental, ecological aspects, inviting data available nearly in every region. By means of this model, an empirical study is carried out for the Kuban area in southern Russia. Analytical tools, a