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Journal: Herald of Kyiv National University of Trade and Economics (Vol.101, No. 3)

Publication Date:

Authors : ;

Page : 21-34

Keywords : public sector; government sector; public sector management system; nonfinancial public corporations; financial public corporations.;

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Bacground. Strategic Ukraine's commitment to equal partnership in the European community contributes to increased attention to the efficiency of public sector management, including the definition of its role in ensuring the development of the national economy. By means of a public sector management is ensured the implementation of the reproductive process, conditions for realization of social programs, environmental conservation, promotion of scientific and technological progress, support of country's defense. Review of scientific sources on the selected subject allowed us to determine that improvement of the efficiency of the public sector depends on the understanding of the economic substance of the mechanism of its management and key factors that determine its development. The proportions of sectoral division of the economy are determined by the needs of reproduction of society as a whole. There are different approaches to the role of the public sector in ensuring economic growth in economics. However, the primary goal of economic policy is to create a new system of public finance that focuses on the optimal combination of market mechanisms and public administration. The above forms the basis of the aim of the research. Material and methods. A set of methods and approaches have been applied in the article. It has enabled conceptual unity of the research: axiomatic, dialectic and structural. Results. A significant achievement of this research is to outline the role of the public sector in the national economy. Approaches to the problems of public sector of economics have been described. The directions of reforming the public sector have been substantiated. Conclusion. The public sector should be the source and destination of piloting innovative organizational and economic innovation, that will facilitate the development of a competitive environment in the national economy. Important tasks of public sector management mechanism is to encourage the emergence of demand for advanced products, promote innovative development of the industry through the development of different forms of co-operation and collaboration with the private sector. Optimization of the composition and structure of the public sector, defining its size and the ratio of the internal components is an important task of ensuring economic growth. Built-in mechanism for the management of state sector should be a mechanism to avoid subjectivity in deciding on privatization, nationalization, restructuring, liquidation of specific objects. The above is necessary in order to keep the strategically important facilities in the public sector.

Last modified: 2016-10-26 19:46:35