The article investigates the main ways of financing general secondary education institutions in Ukraine and developed foreign countries. The main world models of education financing are considered. The foreign experience of management and financing of general secondary education is generalized. Some measures are proposed to eliminate problems with the allocation and use of financial resources for education. The purpose of the study is to identify the features of the system of financing of general secondary education at the present stage and to outline the directions of its reform in the conditions of decentralization and administrative reform based on foreign best practices. The article presents the main models of financing education in different countries. The main problems characteristic of the education sector are identified. There is an imperfect funding mechanism, based on directing funds for the maintenance of general secondary education, rather than on ensuring the quality of education in accordance with the principle of «money follows the child», lack of incentives and opportunities for professional development of teachers. The analysis shows that, despite the reform of general secondary education in Ukraine and the planned positive changes and new opportunities due to administrative and financial decentralization, there are a number of factors that negatively affect the financial security of the education sector. These include: shortage of professionals with experience who could implement new powers and manage the distribution of financial resources on the ground, irregular receipt of budget funds and non-transparency of their distribution at the regional and local levels, corruption in education authorities, low financial capacity of communities, imperfection legislation, conflicts over school closures. Therefore, a special role in the process of reforming education should be played by the system of management and control over the activities of budgetary institutions for the efficient use of financial resources of the state. To improve the situation at this stage, the policy of financing education should be formed in accordance with the Constitution of Ukraine, which regulates the allocation of at least seven percent of GDP for education and socio-economic feasibility of budget expenditures. It is expedient to reform general secondary education by combining domestic and world experience.
Annotation. The article is aimed at the study of cryptocurrency systems and methods of their classification by various properties and characteristics. Despite the active study of cryptocurrency systems by modern scholars, there is still no general consensus on the categorization of classifications. The result of this ambiguity is a general lack of practical understanding of the various forms of cryptocurrency at both the consumer and government levels around the world. The consequence of the article is the division of the whole set of cryptocurrencies to correct this ambiguity. The author has developed a generalized classification of cryptocurrencies, which is designed to fill certain gaps in the study of cryptocurrencies. The most important classification features are revealed and the table of classification of cryptocurrency systems is made, where cryptocurrencies are divided into types and subspecies. The purpose of the article is to develop a detailed classification of cryptocurrencies based on the systematization of existing knowledge about cryptocurrency systems. Nowadays, there are more than 2,000 cryptocurrency systems in the world. And the rapid development of these systems in recent years has forced many not only scientists but also ordinary people to study this area in more detail. Cryptocurrency is the evolution of financial technologies and cryptographic methods. The emergence of the first cryptocurrency - bitcoin led to the creation of new cryptocurrencies, which necessitated their systematization. Cryptocurrencies should be divided into groups according to their features and characteristics in the following categories: purpose, issue size, viability, originality, centralization, availability of innovations, method of rotation, legal status, type of creation, method of production, generation algorithm, encryption method, speed, scope application, degree of dependence, security, volume of capitalization, market value. The algorithms for generating cryptocurrency systems, in particular Proof-of-Work and Proof of share, are considered. The analysis shows the diversity and versatility of cryptocurrency systems. Key words: cryptocurrency, classification, virtual assets, bitcoin, mining, fork.
This article addresses issues related to recognition, evaluation and reflection in accounting cryptocurrency in accordance with IFRS. Should be noted, that there is currently no specific IFRS standard that would disclose these issues. The article also discusses the debatable issues of recognition in the accounting of crypto-currencies. However, this article discusses the possibility of recognizing cryptocurrency as an asset and the way of application of IFRS for evaluation and recording of the cryptocurrencies. In this situation, it becomes necessary at the regulatory level to consolidate the rules for accounting for cryptocurrencies. This can be done in various ways, for example: to introduce additions to a number of International financial reporting standards, or to elaborate a separate IFRS that would disclose the features of accounting for cryptocurrencies.
The article focuses on the relevance of establishing legal norms for virtual currency, which is currently working in the gray zone. The article substantiates why cryptocurrency was referred to other property in the framework of civil law. The issues of referring cryptocurrency to such objects of civil rights as monetary funds, currency values, securities, intellectual property, intangible assets, etc. are considered in detail. Based on a comprehensive analysis, the classification of cryptocurrency as a different property within the framework of civil law is substantiated. The author's definition of cryptocurrency is given as a cryptographically protected property with signs of cryptographic authentication, decentralization, management through consensus, and the use of distributed ledgers. The economic essence and legal status of the cryptocurrency proposed by the authors emphasize the exclusively digital version of the existence and use of this object, indicates the possibility of the turnover of this asset, delimits the concept of cryptocurrency, non-cash and electronic money. The definition of a crypto asset as property makes it possible to develop tax legislation, since the implementation of cryptocurrency is close to investment instruments, which makes it possible to clarify the issue of paying such a tax as VAT. Cryptocurrency as property describes not the thing itself, but the legal relations associated with it, that is, those rights that, according to the rules of law, can be exercised. The article also raises one of the main issues that must be resolved - this is the recognition of ownership of this specific type of property. According to the authors, the starting point for determining the ownership of the cryptocurrency should be that the subject of the right will be the owner of this asset if he legally gained access to the private key by analogy as the subject acquired the ownership of a tangible asset on a legal basis.
Олена Тодорівна Прокопчук, Y.V. Ulyanych, S. Ptashnyk
Reform of local autonomy and local organizational power has been fully initiated in Ukraine since 2015. Decentralization is one of the biggest changes in the process of European integration, aimed at forming a real local autonomous government, starting from the basic level — united communities. The newly formed community of the united territories must be able to provide the existing government and provide public services at the appropriate level. The main level of socio-economic stability in the administrative region largely depends on the correspondence and balance between the received financial resources and powers. It is expected that the introduction of the agricultural land market may lead to significant changes in the tax structure of integrated communities. The status and trends of formation and development of local budgets are influenced by certain provisions of the regulatory framework. Currently, the revenue side of the local government budget relies too much on government programs and grants, which complicates the work of local communities in the process of self-stimulating their economic development. At the same time, it is proved that special attention should be paid to the search for additional revenues to local budgets, which would compensate for the expected losses from the personal income tax on shares. It is also necessary to take measures to improve the administration process and ensure the proper implementation of the fiscal function of local taxes and fees. In particular, there is an objective need to study the possibility of transferring the administration of certain local taxes and providing access to relevant registers (in the case of property tax) to local governments, which will ensure adequate local tax revenues to relevant budgets and partially address the tax debt.
Cryptocurrency is a virtual digital currency. The main reason for the popularity of digital currency is its decentralization and the peculiarities arising from it. Austrian economist and philosopher Friedrich August von Hayek In the 1970s, he became interested in the benefits of money-laundering by the state and began exploring the possibilities of alternative currencies. In 1976 he published the book: Denationalization of Money: An Analysis of the Theory and Practice of Concurrent Currencies. According to Hayek, the state monopoly on the issue of money should be abolished, he writes: The special right of the country's governments to issue and regulate money could not help the society to receive much better money than it would have without the intervention of governments. It was this work by Hayek that prepared the ideological basis for the creation of decentralized digital currency. The purpose of creating a cryptocurrency is to get rid of the directives of central banks. If cryptocurrencies are created by the governments of countries, the basic idea of creating a virtual currency that virtual capital in the Internet space must be beyond the control and regulation of the government is lost. It is in this fundamental idea that the best degree of freedom is best seen, the increased degree of human dependence on free money, which raises many questions, namely: What is the philosophical concept of creating cryptocurrency? What worldview feeds the existence of cryptocurrency? Does the existence of cryptocurrency have an intellectual basis? What is the future of this venture? What principles or obligations should the government follow when talking about cryptocurrency? Is the world preparing for a single currency? The term decentralized digital currency has great appeal, the freedom to depend on money on this scale has long been awaited by mankind, despite the fact that we have numerous examples of independent money making in the world. Can cryptocurrency free us from default? The answer to this question is heterogeneous. One group of experts believes that they do not see default in the crypto world at all, because there will be no need to attract capital by traditional methods, there will be no need for long-term commitments, no bonds will be needed, we will move from the industrial era to the service era, cryptocurrencies. Wall Street positioners even call this view futuristic and say that bonds are a structure of contracts and rules that are not in the crypto world. In our opinion, this may be the traditional paradigm of the attitude of the old representatives of the financial world to the crypto industry. There have been serious tectonic shifts in recent geoeconomics, such as Brexit, the struggle for Catalan independence, the Donald Trump phenomenon, the Recep Tayyip Erdogan factor, and so on. All this breaks the old economic models that we previously thought were unalternative. In the final part of the research topic, we discuss the pros and cons of cryptocurrency, namely that the exchange rate of any cryptocurrency fluctuates rapidly in a very short period of time, there may be a complete depreciation of a particular currency, nothing can prevent it, Return is virtually impossible because the transactions are anonymous, there have been numerous cases of cryptocurrency exchanges in the world, it is practically impossible to investigate the fact, due to the anonymity of these transactions, cryptocurrencies are not secured by any assets, unlike shares they do not allow buyers or property. Against this background, it is interesting to see what place cryptocurrency will occupy in the new currency system. The fact is that virtual finance is a new word in online technology that will change in the future, no matter what the new model of running the economy.
Annotation. Introduction. At the present stage of development of the world is the rapid functioning of all spheres of society. Based on this, today society seeks to be progressive, modern, and therefore the world introduces us to a new type of money that is gaining popularity – cryptocurrency. Currently, humanity is aimed at finding a more progressive way of realization of any financial transactions with minimal risk. Now, the cryptocurrency is in the same city, where was the first paper money during the popularization of the concept of “printing money”. That is why, after a certain period of time cryptocurrency calculations become commonplace. Purpose. The purpose of the study is to consider cryptocurrency as the currency of the future financial system and possible prospects for its future development in Ukraine and the world. Results. The article discusses the theoretical aspects and history of cryptocurrency as currency future financial system. The main types of cryptocurrencies, the process of their creation, which is based on the solution of computers to complex mathematical problems and their entry into the market, are identified. The advantages and disadvantages of using cryptocurrencies are studied, as well as its feature as decentralization, which distinguishes it from other currencies. It is emphasized that in the world, so far, there is no consensus on the further strategy for the development of cryptocurrency in the world, its legalization and legality of use, thus analyzing the legal status of cryptocurrency in different countries and prospects for use. The legal regulation of cryptocurrencies in Ukraine in accordance with the norms of Ukrainian legislation is considered. The peculiarities of the functioning of virtual currencies in Ukraine are highlighted. Conclusions. Cryptocurrency inevitably and actively popularized worldwide in furthering decade. In some areas, such as online gaming business, this kind of currency has found its application in full. In Ukraine, there is everything necessary for legal operations with cryptocurrencies, but it is at the legislative level that there is a problem that prevents the active distribution and use of such currencies. The situation when cryptocurrency is not banned, but also not allowed, is an additional reason for fraudulent schemes. Legal entities and individuals who want or are able to use cryptocurrency is not protected. Similarly, the state can not get taxes from prospective activities. That is why the need for a clear establishment of the concept of “Cryptocurrency” by the law of Ukraine and the creation of mechanisms for regulating any activity with cryptocurrencies at the legislative level, are the priority state tasks at present. Keywords: cryptocurrency; currency; bitcoin; mining; digital currency; the legal status.
Annotation. Introduction. Decentralization of power requires the creation of united territorial communities, which should develop strategies for their own development, with the main directions of society development, tasks, prospects for improving the quality of life of the residents of community. In conditions of fierce competition for investment resources, territorial communities, are united, while developing strategies, they must show the peculiarity of their community – local identity, which is the basis for positioning each community. Purpose. The purpose of the article is, monitoring strategies for the development of united territorial communities in the context of the use of identification tools on the example of Kharkiv region. Results. To assess the impact of strategy results on life communities should constantly monitor the effectiveness of implemented programs and projects. The article monitors the development strategy of the united territorial communities of Kharkiv region and identifies the features of each community that must be taken into account in conditions of fierce competition for investment resources, as well as identifies tools to form a positive image of united territorial communities Conclusions. The region has a fairly good education rating of the united territorial communities, which was influenced by the high rates of their population. All the communities of the Kharkiv region, which have been functioning for more than one year, have a stable growth of the resource base, and the vast majority of them do not receive subsidies, on the contrary, they pay a significant reverse subsidy. At the same time, they are also characterized by an increase in the share of expenditures for the maintenance of the management staff in financial resources and a sharp dynamics of capital expenditures, which does not correlate with the growth of budget revenues. At the same time, they are also characterized by an increase in the share of expenditures on the maintenance of the management staff in financial resources and abrupt dynamics of capital expenditures, which does not correlate with the growth of budget revenues. Based on the results, the main identification tools are identified, namely area, population (including demographic structure), income and expenditure level, financing structure, structure of business entities by type of activity and income level, number of social infrastructure facilities, the level of employment and unemployment in the community, the share of agricultural land in the region; the number of enterprises in the region by type of activity; unique name; minerals; the share of certain industries in the region; favorable conditions for tourism development (green, medical, hunting, etc.). The definition of these instruments is the basis for assessing the socio-economic development of society, investment attractiveness. Keywords: united territorial community; strategy, monitoring; tools; identification.
Introduction. In the context of reforming the system of local self-government and territorial organization of power, the use of world best practices in the context of decentralization and implementation of best foreign practices in shaping the finances of territorial communities and their associations is of paramount importance. Accordingly, a number of important theoretical postulates of domestic financial science need to be reconsidered through the prism of improving existing and developing the latest conceptual approaches to the functioning of the finances of united territorial communities (OTG) using international advances in this area. local development.Purpose. Given the limited theoretical and practical work of domestic scholars on the finances of the united territorial communities, the purpose of the article is to use the best world practices to improve the efficiency of OTG finances.Methods. The methodological basis of the study are general scientific and economic- statistical methods: analysis, synthesis, statistical method - to study the international experience of OTG finance reform; inductions, deductions - to determine the directions of development of OTG finances in Ukraine; abstract-logical, economic-mathematical - for estimating revenues and expenditures of local budgets of OECD countries. Results. The world experience of reforming the finances of territorial communities is considered. In the context of application of the best international practices the directions of development of finance of OTG in Ukraine under modern conditions of carrying out financial decentralization are offered. Estimates of revenues and expenditures of local budgets of OECD countries were assessed, which allowed to determine priorities in revenue generation, expenditure optimization, distribution of powers and functions, as well as the use of new sources to increase the revenue base of local communities and their associations in Ukraine. Discussion. The prospects for further research is to develop a model for optimizing the financing of OTG development in order to ensure the implementation of its own powers and functions.
Introduction. Cryptocurrency and related activities in Ukraine are not regulated by specialized law. Transactions with currency «crupto» are increasingly used in the accounting practice of domestic enterprises. The correctness of an accounting of such transactions is influence on actuality of the financial statements, the completeness of the taxes payment and the amount of income and profits of enterprises.The main aim is to analyze the peculiarities of the formation and movement of cryptocurrency, its recognition as an object of accounting, justification for further accounting evaluation and impact on performance.Methods. Methods observation, comparison, analogy, grouping and classification, abstraction and specification, analysis and synthesis, tabular and structural-logical methods are used. The information base of the research is the scientific achievements of domestic and foreign scientists and specialists, own experience and observations.Results. The definition of cryptocurrency as an object of accounting and a source of economic benefits is considered. The possibilities and advantages of cryptocurrency using in different spheres of economy are determined and systematized. The role and significance of cryptocurrency with the functions of money are compared. The possibility of classifying cryptocurrency as a certain type of enterprise assets in accordance with IAS and UAS (P(S)BO) is analyzed. The peculiarities of valuation and accounting of cryptocurrency as an intangible asset are substantiated. The problems of taxation of cryptocurrency transactions are identified and certain solutions are proposed until the regulatory settlement of this issue.
Despite all the fears surrounding cryptocurrencies, the rates of transactions increased and became an undeniable reality, and with the developments of the events that the world is going through, especially since the emergence of the new Corona virus and its declaration of a global pandemic, several important questions have emerged regarding dealing in these currencies considering the current epidemic. This study aims to know the extent to which dealing in cryptocurrencies has been affected by the emergence of the new Corona virus, and will it become a haven for transactions considering the closure decisions adopted by the countries of the world, or whether the uncertainty of the current situation increases the fear of dealing with it, especially as it depends on the forces of demand and supply. The study found that transactions in these currencies decreased at the beginning of the crisis, due to fears of a depreciation in their value, which prompted individuals to sell them on stock exchanges, but with the policies of closure and travel ban, dealing in these currencies increased again. Central banks tended strongly considering this crisis to think about maximizing benefit from dealing in these currencies.
The article analyzes an aggregate indicator consisting of 10 components of governance (sub-indices) to assess the competitiveness of cities. The competitiveness of cities is ranked by 10 components. Under conditions of decentralization, the role of local government in economic development is growing, and it is not countries and regions that are competing, but enterprises and their clusters. To assess the business climate in cities, the article summarizes the data of the US Agency for International Development's Report "Competitive Economy of Ukraine" in partnership with Info Sapiens and the Institute for Economic Research and Policy Consulting introducing the Index of Competitiveness of Ukrainian Cities developed through personal interviews with business representatives in Ukrainian cities and with the help of desk research. Indicators and obstacles to increasing the competitiveness of the regions of Ukraine are summarized. The conducted analysis made it possible to establish the negative dynamics of reducing the level of competitiveness of Ukrainian regions and to identify the reasons associated with a significant decline in economic indicators of the regions. Given modernity, among the strategic steps to improve the state regional policy, the article suggests motivating the creation of a favorable environment for business development in the regions; simplifying the business access to finance and the tax administration system; promoting the acquisition of skills, the development of a culture of entrepreneurship, and the formation of responsible behavior; improving the legal framework for compliance with EU standards; promoting the export of business products and services and their internationalization; promoting the process of competitiveness and innovation development, supporting the transfer of knowledge and technology, modernizing the existing infrastructure; strengthening the institutional framework for creating a favorable environment for business growth, monitoring the current business support activities, and their innovation activities.
Introduction. In the coming years, the accounting sector is expected to undergo major changes due to the fact that Blockchain technology is being actively introduced in the financial sector of the countries. The article gives a critical assessment of the situation, as well as discusses the problematic aspects and prospects for the development of the blockchain in the system of accounting and auditing. The definition of the economic content of the blockchain is investigated. It has been found that the cryptocurrency system works on Blockchain technology, the essence of which is the possibility of a separate group of people to manage a virtual "ledger", i.e. one sheet of such a book is a block, and the book itself is a chain of block sheets. The platform is a public register based on distributed ledgers, which can be shared across multiple network nodes, providing each participant with their own copy. The studied technology has an important feature for accounting, because the information created in this database can be trusted, even if there is no trust in the counterparty. Blockchain technology is the basis of the basic principles of cryptocurrency: transparency, anonymity, decentralization,speed and security. Blockchain technology and one of the products of its implementation - cryptocurrency, can really be a starting point for the transformation of the world economy and its implementation in Ukraine. With the help of the blockchain, the relations «state-business», «business-business», «population-state» can change significantly. In other words, the main transformation will be related to the possibility of delegating to a computer program (algorithm) the conduct and certification of transactions without the participation of third parties (state, banks, other intermediaries), the results of which will be trusted by all or most economic entities (market). Methods. The authors used the following scientific methods in the process of research: induction and deduction - in the process of studying the general trends of Blockchain development in Ukraine, analysis and synthesis - during theoretical generalizations, formation of appropriate conclusions; bibliographic - research of literary sources to obtain the necessary information on the research topic; method of associations and analogies - for proposed new ideas and proposals that arise from comparison with other more or less similar objects. Results. Proponents of Blockchain technology believe that the new tool will be able to replace not only accountants but also banking institutions and many financial intermediaries. According to the Blockchain Research Institute, Ukraine was on the list of 14 countries that were recognized as leaders in the implementation of Blockchain. However, the state needs to restructure huge systems with a huge number of people to use this tool. Blockchain technology aims to put an end to traditional methods of accounting, documentation, processing, registration, inventory systems. Blockchain allows companies to register both parties to a transaction simultaneously in a shared book in real time, rather than storing matched records of financial transactions separately in a private database. The need for traditional double-entry bookkeeping will be eliminated, as the verification of the legality of accounting will be fully automated. Disscusion. The main task set when writing the article is to substantiate the feasibility of using blockchain technology in accounting and auditing.
Modern decentralized technologies, such as distributed registries, blockchain, smart contracts and decentralized autonomous organizations (DAO), are becoming more popular every year. Therefore, the subject of our research, the results of which are presented in this article, is the processes of digitalization in the field of management control and key technologies that allow to organize an effective system of management control in a decentralized organization. The success of management control is determined not only by its ability to identify and correct undesirable deviations in a timely manner, but also by the presence of a special corporate culture based on trust and fairness. Moreover, a positive corporate culture reduces the need for a number of control procedures designed to compensate for the lack of trust within the company. This effect can also be seriously enhanced by modern digitalization technologies. The research methodology included a broad review of literature sources and a comparative analysis of modern concepts of decentralized management, as well as drawing conclusions about promising ways to evolve management control systems. The aim of the study is to identify the impact on management control systems of modern technologies such as blockchain, smart contracts and decentralized autonomous organizations. The authors summarized the experience of applying these technologies in management control systems, which are designed to ensure high individual and team performance to achieve the strategic goals of the company. The conclusion is that the blockchain-based decentralized autonomous organization (DAO) is changing the forms and methods of management control, increasing the role of collective decisions and opening the way for employee initiative. DAO can significantly reduce internal and external transaction costs, including costs associated with the management and operation of management control systems. Different procedures for approval, confirmation and verification, as well as the adoption of standard management decisions are unified and automated. Accordingly, the time and the total amount of effort spent by managers to perform routine actions related to monitoring and control of employees' actions is reduced. Decentralization of control also reduces the impact of administrative procedures and ensures a higher level of trust within the organization. The decentralized model of management control is relevant for various areas of business and management, but special prospects can be seen in the field of decentralized finance (DeFi), where a wide range of professional controllers and users can be involved in auditing smart contracts and identifying shortcomings in financial services.
The transformation from analogue to digital risk management is becoming a prerequisite in the implementation of the incresingly digital bank institutions’ strategies. Among the key steps in this direction is the optimal use of blockchain technology’s potential and artificial intelligence. Huge hopes are set on blockchain in view of two key risks facing today’s banks: the danger of using the bank system for money laundering and financing terrorism, and cyberattack threat. Artificial intelligence, in turn, creates conditions for processing large arrays of unstructured data risk, more precise identification of potential problems in the future, full automation of manual processes in risk function, credit scoring automation, developing adequate market risk assessment models, etc.
The article presents an analysis of the current level of financial literacy of young people in cryptocurrency. Purpose of work: revealing of the main problems connected with low growth of activity of youth in the market of cryptovoltaic currency. Identification and comparison of the main risks and opportunities on the cryptocurrency market are defined as priorities. In the article the methods of interrogation, the comparative analysis, deductive and inductive conclusions are resulted, and also construction of theoretical model of the relation of a society of the cryptocurrency by means of writing of conclusions and recommendations to this question is made. It was concluded that the low level of financial literacy of young people in the cryptocurrency is largely due to the government's passive policy in this direction, as well as the myths and illusions surrounding the cryptocurrency. There is direct connection between the level of readiness of citizens to invest their money in cryptocurrency and the level of innovation of the state economy.
The purpose of this research is to determine the prospects for the use of cryptocurrencies on the example of bitcoins. In the process of theoretical research economic and legal features of cryptocurrencies are revealed: their performing of the money functions, types of economic transactions carried out with their involvement, the legal security of the cryptocurrency market. Problems related to the decentralization of cryptocurrencies are analysed. Among them there are the threat to the stability of national currencies, the use of cryptocurrencies for financing of criminal activities, weak financial control over operations in cryptocurrencies, which reduces the possibility of adequate taxation of related incomes. It was found that improving the legal structure of cryptocurrency circulation, ensuring financial control over it would help to reduce the economic dangers and risks associated with the use of virtual money. The tendencies in change of the extracted volume, exchange price, market capitalization of such cryptocurrency as bitcoin are analysed. It is determined that bitcoin shows sharp price fluctuations over short periods of time that are not related to its quantity. But the demand and supply of bitcoins are influenced not only by speculative expectations, but also by fundamental factors, that influence the prices of other stock assets. In addition, the price of bitcoins is affected by development of the computer technologies and by legislative changes. This allows to make predictions about the dynamics of the price of virtual money. Scenarios for the development of the cryptocurrency market in Ukraine are proposed. Legislative support for the bitcoin market would accelerate its development, make its operations safer for its participants and help to counteract money laundering operations.
Innovative activity determines sustainable development and increases competitiveness of business entities. At the same time, high levels of risk of innovative activities, huge costs and the challenge of choosing sources of financing for the innovations are the main factors that hinder the formation of an innovative model of economic development. The purpose of the article is to generalize, systematize and develop methodological approaches to the formation of high-quality, complete and reliable information for investors, owners and managers of companies, which would ensure transparency of cash flows, control over efficiency of invested funds use, and minimization of business risks. In innovatively oriented companies, development of the necessary information base is carried out within the framework of internal management accounting systems. An important tool for collecting information about innovations is performance-oriented budgeting models, in which, on the one hand, spending of targeted funds is carried out in accordance with the principle of centralization, and, on the other hand, the set goals are achieved in accordance with the principle of decentralization, ensuring planning, execution and control of budget expenditures in direct connection with the specified and achieved results. The authors have developed a model taking into account companies' specifics (industry, scale of business) and information needs of its users (heads of organizations, investors, owners and the state) and which is oriented on determining the cost limit of the products being developed at the stage of research and design. The article proposes, as an important aspect in organizing a management accounting system for innovative activities, the use of flexible budgeting, which stands out by providing a hierarchical structure of indicators considering the lifecycle stages of an innovation, variability, and formation of an integral indicator that allows for monitoring and evaluation of efficiency of the general budget that characterizes the development strategy.
The article deals with the impact of the COVID-19 pandemic on the financing of the health care system, and the main challenges to the stability of the financial mechanisms of post-pandemic health care development have been identified. The author substantiates the peculiarities of the crisis of health care financing in the conditions of the current pandemic, further economic recession and decreased fiscal sustainability. The global practice of fiscal response to the manifestations of the COVID-19 pandemic has been systematized and the volumes of the corresponding financing in the countries with insurance and budgetary systems of health care financing have been estimated. The article identifies mechanisms for the transformation and expansion of the fiscal space in the context of expanded financing of the growing need for medical care in the face of new epidemic risks in different countries. Most often, the expansion of a country's fiscal space is carried out by: redistributing the existing amount of government expenditure for health care and redirecting funding flows from financing certain types of medical care to financing programs to overcome and combat COVID-19; changes in the priority of government health expenditure to combat COVID-19 compared to other budget expenditures on the social sphere and economic development; and using national reserve funds and emergency funds. It has been found that in the field of health care, the vast majority of countries have reduced the economic and territorial deprivation of all population groups in access to the diagnosis and treatment of COVID-19. The author emphasizes the weaknesses of insurance based and decentralized health financing mechanisms to respond to the growing need for health care and financial stability during the pandemic. Substantiated the necessity to expand the fiscal space needed to cover the fiscal gap in Ukraine caused by the requirement to increase health care financing in response
The purpose of the article is to identify the correspondence between the revenue and expenditure parts of local budgets, which are responsible for the significant part of state expenditure financing due to financial decentralization reform. The article provides a comparative analysis of decentralization levels of local budgets in Ukraine and European countries by revenues and expenditures, as well as analyzes the structure of revenues and expenditures of the consolidated budget which include state and local budgets. The article notes that over the past ten years, the gap between revenue and expenditure has narrowed due to decentralization reform, but fiscal balance has not been achieved.The results of the analysis demonstrate the existence of a significant vertical imbalance in the budget system of Ukraine, which consists in the insufficiency of own and fixed financial resources of local authorities to ensure their powers. In terms of income decentralization, Ukraine ranks middle among Eastern European countries, while the level of expenditure decentralization corresponds to the level of Scandinavian countries, where the state plays an active role in income redistribution and has high institutional efficiency and high social standards. The article substantiates that the vertical imbalance exist due to the inefficient structure of local budgets’ revenues, in particular the high share of transfer payments from the state budget to local budgets, as well as the low share of own revenues, namely local taxes, in tax revenues. In order to strengthen the revenue side of local budgets and reduce vertical imbalances it is proposed to increase the tax base of local taxes through development of business and welfare in the regions, to increase the share of deductions from corporate tax and personal income tax to local budgets, to improve the control over local budget revenues and to optimize local expenditures, including social protection and social security expenditures. As the practice of foreign countries with decentralized budget systems shows, the elimination of vertical imbalances leads to a significant increase in the fiscal capacity of the regions. JEL classіfіcatіon: E62, H61, H71, H77 Manuscript received 30.04.2020
Dimitri Gagliardi, Foteini Psarra, René Wintjes, Kevin Trendafili · 10 authors
[EN] The study “New technologies and digitisation: opportunities and challenges for the social economy and social enterprises” sets out to explore how the rising importance of the social economy in Europe is facing the challenges of digital transformation. It focuses on whether, why, how, and to what extent the integration of digital platforms and advanced technologies (i.e. Open-Source, Artificial Intelligence, Internet of Things, Big Data, Distributed Ledger Technologies) may affect the design and delivery of new/better social and societal impact by the social economy. This study shows that digital platforms and advanced technologies’ capabilities of automating and simplifying operations are opening up opportunities for the social economy in terms of increased reach and enhanced effectiveness. Digitalisation also underpins the creation of new and innovative social services and working conditions helping to tackle existing and emerging social and societal problems. Whilst these trends are set to continue in the near future, European Institutions, Member States policymakers and social entrepreneurs should commit to promote and support the digital transformation of the social economy and encourage the uptake, scale-up/scale-out and duplication of innovative digitally-enabled initiatives. Areas of intervention have been identified. Resources for Research and Innovation as well as traditional sources of revenues play an important role for the development and take-up of digital technologies for and by the social economy. Likewise, the development of entrepreneurial and digital skills of social economy actors are needed to foster the vision of the European digital social economy. Collaborations between various stakeholders in nurturing environments (social clusters, creative spaces or incubators) may effectively promote the modernisation of the social economy by strengthening and growing digital native cohorts of social economy organisations. Finally, in order to promote cross-Member State growth of the social economy, it is advisable to harmonise the legal forms and statutes regulating the various actors of the social economy. This way, digital platforms and advanced technologies may truly contribute to the establishment of the European digital social economy fit for the societal challenges of the 21st century.
The culture has always been funded residually. And now funding continues to be made available to address the immediate needs of communities. Subventions received by communities as part of the reform were aimed at road mending, renovating municipal equipment, water suppling, and upgrading. As a result, it is impossible to maintain cultural institutions and provide quality cultural services to the population in less well-off communities. This may result in depressed territories being left without cultural facilities, cultural programs and projects. Another problem that exists in villages, towns and small towns is the so-called «staff shortage». Low wages and lack of professional prospects in rural areas don’t help involvement of experts to work for positions in the field of culture. In the more capable ATCs, as well as in the communities that have become the centers of the community, there is often at least a team of the director, the artistic director, the circle leaders who organize the cultural life in the community. But in small villages, in houses of culture, the enthusiasm of only one person who has worked in this position all his life is still held. This person is at the same time a director, artistic director, head of all circles, and sometimes a technical worker. According to R. Yu. Mylian, increased attention to solving problems of the sociocultural development of rural settlements will contribute to the preservation and development of cultural institutions in rural areas, prevent the outflow of the working and most educated population, especially young people, and will eventually strengthen the sustainable development potential of Ukraine as a whole. The organization and holding of mass cultural events in rural areas is an effective means of strengthening the competitiveness of rural areas, enhances the development of cultural interregional and cross-border cooperation, event-tourism and has a positive impact on the branding of rural settlements as tourist attractions. To address the above issues, is invited to identify an approach whereby a State, acting by the Culture Ministry, will develop standards for the minimum volume and quality of cultural services, compliance with which will be mandatory for local governments in communities. This may occur by defining and establishing a set of basic services guaranteed by the State and financed from the State budget. For the normal functioning of State culture, it is necessary to establish a new concept of these institutions activities in the ATC, to provide for tax exemption by legal acts and to clearly define the types of services provided by cultural activity.
Relevance of the research topic. In the current conditions of economic transformations, the issues of increasing the validity of the fiscal policy, strengthening the effectiveness of public and municipal finance management systems are relevant. An important task is to restore the budget balance, coordinate the actions of public authorities and local governments in the process of formation and implementation of fiscal policy. Formulation of the problem. Based on the transformation processes in the domestic system of public finance, the important tasks are to substantiate the directions of development of public and municipal finance systems, their components. At the same time, the choice of fiscal policy tools should be made taking into account the cyclical and dynamic economic processes. Analysis of recent research and publications. The issue of formation and implementation of fiscal policy for the development of public and municipal finance systems is quite common in research. These are the works of well-known domestic and foreign scientists: J. Keynes, P. Samuelson, V. Nordhaus, J. Stiglitz, V. Tanzi, T. Bogolib, I. Zapatrina, L. Lysyak, V. Oparin, M. Pasichnyy, V. Fedosov, I. Chugunov, and others. Highlighting unexplored parts of a common problem. These issues are relevant in connection with the intensification of globalization processes, unfavorable external and internal economic environment, which requires several specific tasks related to the fiscal policy development. Goal setting, research goals. The research goals are to reveal the essence and role of state and municipal finances in financial and economic regulation; to determine the priority tasks of fiscal policy in the conditions of economic transformations. The purpose of the study is to reveal the institutional principles and directions of development of public and municipal finance management systems. Research method or methodology. The set of methods of scientific research is applied in the article: a systematic approach, statistical analysis, structuring, analysis, synthesis, etc. Basic material presentation (results of work). The essence and role of state and municipal finances in financial and economic regulation of the administrative-territorial units development and the country are revealed. The priority tasks of fiscal policy in the conditions of economic transformations are defined. The analysis and assessment of budget indicators is carried out. Area of application of results. The results of the study can be used in the process of the formation and implementation of the fiscal policy of Ukraine, reforming the public finance system. Conclusions according to article. Measures for further improvement of state and municipal finance should aim at optimizing the functions of state and local governments and their efficient allocation among them. Strengthening decentralized processes in Ukraine aimed at creating a modern system of local governments, municipal finance development based on European values. Achieving concrete results, identified under the priorities of fiscal policy at the local level, implies clear coordination and increasing the level of responsibility of all participants in the budget process.