THE QUANTITATIVE IMPACT OF BUDGETARY PROGRAMMING ON REGIONAL ENVIRONMENTAL MONITORING IN WESTERN UKRAINE

The paper tests the dependence between the central government expenditure decisions within the framework of innovative target-based budgetary programming, and the de-facto stringency of regional environmental monitoring in Western Ukraine. The quantitative assessment is performed using logistic regression random effects model. According to the proposed environmental contracts hypothesis, the government influences the degree of regulation or deregulation of ecosystems use by distributing the burden of budget constraints and thereby offers more or less stringent terms of ecosystems use to businesses.