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Efficiency of the distribution of budget social expenditures in the light of Ukraine's European aspirations

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  • І. Badovska

Abstract

In the context of Ukraine's European aspirations, an important task is to obtain specific results from the redistribution of social expenditures. The inherited command ideology of total social commitments funding doesn't correspond to the modern principles of market development. The effectiveness and efficiency of the use of budget resources are becoming especially urgent at this given level. In the author's opinion, the result of state social support could be represented in terms of welfare and poverty. The study reveals a lack of direct effect of budget expenditures on social welfare and people poverty as a result of the study. It is proposed to consider the reason for this through the prism of the distribution of total social income. For that purpose, the author calculates the Gini coefficient by classical and alternative methods and decomposes it by income components. The result of the study is the identification of inefficient channels of the redistribution of expenditures on social support.

Suggested Citation

  • І. Badovska, 2014. "Efficiency of the distribution of budget social expenditures in the light of Ukraine's European aspirations," Economy and Forecasting, Valeriy Heyets, issue 3, pages 57-68.
  • Handle: RePEc:eip:journl:y:2014:i:3:p:57-68
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