Social aspects of Ukrainian economy development: current state and new challenges

Анотація

Modern changes in the economy of Ukraine caused by the socio-political situation in the country as well as a number of initiated reforms encourage scientific exploration of the socio-economic development of the country. The purpose of the article is to conduct a problem-oriented analysis of the social component of the economy of Ukraine. The article presents the results of a study of socio-economic development of Ukraine during the past five years. The following areas of analysis were selected: labor markets, poverty, unemployment, income / expenditures of the population. Low growth rates of the subsistence level are proven to be causing a decrease in social standards, which negatively affects the living standards of the population in Ukraine; a significant drop in real income of the population in 2014-2015 aggravated the purchasing power of the population; the increase in the share of wages and social benefits in the structure of the population's income during the analyzed period is an indication of the excessive dependence of the population's well-being on state support, as well as the absence of the so-called middle class in the country. The visible growth in the unemployment rate is caused by the military actions in the East of Ukraine, the deepening of the financial and economic crisis and the deterioration of the socio-political situation in the country. Emphasis is placed on differentiation in wages in economic sectors. Low level of the average salary in the budget sphere is proven to be caused by the peculiarities of calculating the size of the minimum salary on the basis of the subsistence minimum, which ultimately leads to the “depreciation” of the work of employees of the budgetary sphere and the reduction of the cost of highly skilled labor. Challenges to further development of Ukraine have been identified, such as excessive unemployment, poor level of remuneration, the level of social protection, military conflict in Eastern Ukraine among the key ones.

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