The institutional framework of Ukrainian economy neo-industrialization in the light of global integrated indices
Economic Annals-ХХI: Volume 153, Issue 7-8(2), Pages: 12-14
Citation information:
Moroz, V., & Shepetko, R. (2015). The institutional framework of Ukrainian economy neo-industrialization in the light of global integrated indices. Economic Annals-XXI, 7-8(2), 12-14. https://ea21journal.world/index.php/ea-v153-03/
Volodymyr Moroz
PhD (Economics),
Associate Professor,
National Academy for Public Administration under the President of Ukraine
20 Ezhena Pottier Str., Kyiv, 03057, Ukraine
mrfrostvv@gmail.com
Roman Shepetko
PhD Student (Economics),
National Academy of Public Administration under the President of Ukraine
20 Ezhena Pottier Str., Kyiv, 03057, Ukraine
romanshepetko@gmail.com
The institutional framework of Ukrainian economy neo-industrialization in the light of global integrated indices
Abstract. Introduction. The effectiveness of the institutional framework and governance greatly affect the process of neo-industrialization and living standards improvement. Stagnation of the institutional sector increases transaction costs, reduces investment and entrepreneurial activity and leads to the technological decline. Purpose. To analyze institutional factors which affect the quality of neo-industrial transformations. Methods. The present analysis of the institutional framework of Ukraine is carried out using complex global indices. Results. The main institutional factors that determine Ukraine’s low position in global ratings of complex indices include: unlimited state power, unpredictability and lack of transparency of governmental policy, low confidence in law enforcement in society, poor state protection of property rights, high level of corruption and shadow economy.
Conclusions. Carrying out institutional reforms and efficient neo-industrialization of Ukrainian economy should be the first steps towards the country’s institutional changes and corruption combating. Improvement of Ukraine’s position in global indices, attraction of new investments, industrialization of economy and increase in the standards of living will be the results of successful institutional modernization.
Keywords: Institutions; Neo-industrialization; Global Indices
JEL Classification: A12; O17; O38; O57
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Received 21.08.2015