№ 3/2017

Fìnansi Ukr. 2017 (3): 7–18https://doi.org/10.33763/finukr2017.03.007

PUBLIC FINANCE MANAGEMENT

GASANOV Sergіi ¹

¹SESE “The Academy of Financial Management”
OrcID ID : https://orcid.org/0000-0002-7454-0419

Structural policy and public finance under institutional uncertainty

Theoretical and practical problems of structural policy are considered under institutional uncertainty, financial constraints and fiscal consolidation programs. The necessity for development and implementation of a new concept of structural policy is justified in view of the actual state of the public finance, objectives and institutional conditions of the national economy structural transformations. Between the micro level of markets and the macro level of state influence there is “a middle layer”, which is especially active, from the structural-institutional point of view. There are those political groups and centers of economic power that are pursuing own goals and have for that informal institutional mechanisms of influence on political decision-making and economic policy. They often focus on presenting their own group interests as the public ones. Thus, market and government failures oppose each other in the field of structural policy. The structural policy in transitive economy under institutional uncertainties should be considered primarily as a systematic policy aimed at the formation of the economic coordination market mechanism. This differs from the neoclassical comprehension of the structural policy as a market failures consequence.

Keywords:structural policy, public finance, institutional uncertainty, structural transformations, fiscal policy, monetary policy, fiscal consolidation, economic activities, sustainability of public finance.

JEL: B52, H10, P16, P26

Gasanov S. . Structural policy and public finance under institutional uncertainty / S. . Gasanov // Фінанси України. - 2017. - № 3. - C. 7-18.

Article original in English (pp. 7 - 18)

Download

Downloads :559

1. Fisher, A. G. B. (1939). Production, primary, secondary and tertiary. Economic Record, 15, 1, 24-38.
doi.org/10.1111/j.1475-4932.1939.tb01015.x

2. Clark, C. (1957). The Condition of Economic Progress. New York.

3. Kuznets, S. (1966). Modern Economic Growth: Rate, Structure and Spread. London.

4. Leontief, W. (1986). Input - Output Economics. New York.

5. Eucken, W. (1952). Grundsätze der Wirtschaftspolitik. Bern: Tübingen: Edith Eucken u. Paul Hensel [in German].

6. Tinbergen, J. (1952). On the theory of economic policy. Amsterdam.

7. Tinbergen, J. (1967). Economic Policy: Principles and Design. Amsterdam.

8. Rostow, W. (1960). The Stages of Economic Growth: A Non-Communist Manifesto. New York.

9. Fourastie, J. (1960). The Causes of Wealth. Glencoe.

10. Lewis, W. (1955). The Theory of Economic Growth. London.

11. Myrdal, G. (1957). Economic Theory and Underdeveloped Regions. London.

12. Galbraith, J. K. (1967). The New Industrial State. Boston.

13. Pasinetti, L. (1981). Structural Change and Economic Growth. Cambridge.

14. Pasinetti, L. (1993). Structural Economic Dynamics. Cambridge.
doi.org/10.1017/CBO9780511551444

15. Maddison, A. (2001). The World Economy: A Millennial Perspective. Paris.
doi.org/10.1787/9789264189980-en

16. Freeman, C., Clark, J., & Soete, L. (1982). Unemployment and Technical Innovation: A Study of Long Waves and Economic Development. London.

17. Dosi, G. (1982). Technological Paradigm and Technological Trajectories: A suggested Interpretation of the Determinants and Directions of Technological Change. Research Policy, 11, 3, 147-162.
doi.org/10.1016/0048-7333(82)90016-6

18. Gowdy, J. (2006). Evolutionary Theory and Economic Policy with Reference to Sustainability. Journal of Bioeconomics, 8, 1, 1-19.
doi.org/10.1007/s10818-006-7213-0

19. Nelson, R., Winter, S. (1982). An Evolutionary Theory of Economic Change. Cambridge.

20. North, D. (1991). Institutions, Institutional Change and Economic Performance. Cambridge.
doi.org/10.1017/CBO9780511808678

21. Rodrik, D. (2007). Industrial development: Some stylized facts and policy directions. Industrial Development for the 21st Century: Sustainable Development Perspectives. New York: United Nations.

22. Becker, S. O. (2012). EU Structural Funds: Do They Generate More Growth? The CAGE - Chatham House Series, 3.

23. OECD. (2016). Economic Policy Reforms 2016: Going for Growth Interim Report. Paris: OECD Publishing.

24. Causa, O., Hermansen, M., & Ruiz, N. (2016). The Distributional Impact of Structural Reforms. OECD Economics Department Working Papers, 1342.

25. OECD. (2012). Latin American Economic Outlook 2013. SME Policies for Structural Change. Paris: OECD Publishing.
doi.org/10.1787/leo-2013-en

26. OECD. (2016). Economic Policy Reforms 2016: Going for Growth Interim Report. Paris: OECD Publishing.

27. Varga, J., Roeger, W., & Veld, J. (2013). Growth Effects of Structural Reforms in Southern Europe: The case of Greece, Italy, Spain and Portugal. European Economy. Economic Papers. Brussels: European Commission DG ECFIN.
doi.org/10.1007/s10663-014-9253-3

28. Tomova, M., Rezessy, A., Lenkowski, A., & Maincent, E. (2013). EU governance and EU funds - testing the effectiveness of EU funds in a sound macroeconomic framework. Economic Papers, 510. Brussels: European Commission DG ECFIN.

29. Grüner, H. P. (2013). The Political Economy of Structural Reform and Fiscal Consolidation Revisited. European Economy. Economic Papers, 487. Brussels: European Commission DG ECFIN.

30. Czarnitzki, D., Toivanen, O. (2013). Innovation Policy and Economic Growth. European Economy. Economic Papers, 482. Brussels: European Commission DG ECFIN.

31. Vogel, L. (2011). Structural reforms and external rebalancing in the euro area: a model-based analysis. European Economy. Economic Papers, 443. Brussels: European Commission DG ECFIN.

32. Vogel, L. (2012). The impact of structural policies on external accounts in infinite-horizon and finite-horizon models. European Economy. Economic Papers, 474. Brussels: European Commission DG ECFIN.

33. Lin, J. (2012). New Structural Economics: A Framework for Rethinking Development and Policy. Washington: World Bank.
doi.org/10.1596/978-0-8213-8955-3

34. European Comission. (2013). Towards Knowledge-Driven Reindustrialisation. European Competitiveness Report 2013. Luxembourg: Publications Office of the European Union.

35. Alesina, A., Ardagna, S. (2010). Large changes in fiscal policy: taxes versus spending. Tax Policy and the Economy, 24, 35-68.
doi.org/10.1086/649828

36. Anderson, D., Hunt, B., & Snudden, S. (2013). Fiscal Consolidation in the Euro Area: How Much Pain Can Structural Reforms Ease? IMF Working Paper, 211.
doi.org/10.5089/9781475573879.001

37. Knight, F. (1921). Risk, Uncertainty and Profit. Boston; New York.

38. Alchian, A. (1950). Uncertainty, Evolution, and Economic Theory. The Journal of Political Economy, 58, 3, 211-221.
doi.org/10.1086/256940

39. Alchian, A., Demsetz, H. (1972). Production, Information Costs, and Economic Organization. The American Economic Review, 62, 5, 777-795.

40. Filho, F., Conceição, O. (2005). The Concept of Uncertainty in Post Keynesian Theory and in Institutional Economics. Journal of Economic Issues, 39, 3, 579-594.
doi.org/10.1080/00213624.2005.11506835