The Role of Fiscal Policy in Ensuring the Competitiveness of the National Economy
Yakushko I. V.

Yakushko, Inna V. (2023) “The Role of Fiscal Policy in Ensuring the Competitiveness of the National Economy.” The Problems of Economy 1:192–197.
https://doi.org/10.32983/2222-0712-2023-1-192-197

Section: Finance and banking

UDC 338.22

Abstract:
The article considers the role of fiscal policy in ensuring the competitiveness of the national economy. In particular, the essence of fiscal policy is defined and the basic scientific approaches to scientists’ understanding of the content of economic competitiveness are analyzed. It is substantiated that such competitiveness is directly related to the competitiveness of the fiscal system. Considering the structure of the fiscal system and the main directions of fiscal policy, the article determines that the tax system plays an important role in shaping such a policy. It is substantiated that the overall level of competitiveness of the country’s economy depends partly on the efficiency of tax competition in the country. To this end, the article deepens the theoretical provisions of understanding the essence of this type of competition, which is implemented on the basis of an analysis of approaches to its consideration available in the scientific literature. In general, the authors determine that tax competition, in the current realities, is an important and integral component of the entire process of forming an appropriate level of competitiveness of the country in the global markets of goods, services, raw materials and, especially, markets of capital. As the experience of many countries shows, a transparent and efficiently functioning tax system in the country helps to attract foreign investment in the real sector of the economy, in particular in high-tech spheres. So, the specific features of this type of competition are specified and it is found that the competitiveness of the tax system is determined through a comparative analysis of its parameters from the indicator of functioning of tax systems in other countries. Analyzing the essence of fiscal policy, peculiarities of its development and implementation, the article expands the theoretical foundations of the ontological relationship between such a policy and the overall level of competitiveness of the national economy. It is determined that, on the one hand, such a policy is a component of the economic policy of the State and, accordingly, an integral part of economic relations, and on the other hand, it can actively influence the functioning of other subsystems and objects that have the ability to exert external influence on the development of the national economy.

Keywords: fiscal policy, national economy, tax system, tax competition, competitiveness of the national economy.

Fig.: 1. Bibl.: 15.

Yakushko Inna V. – Candidate of Sciences (Economics), Candidate on Doctor Degree, International Science and Technology University named after Academician Yu. Buhai (3 Mahnіtohorskyi Lane, Kyiv, 02660, Ukraine)
Email: yakushko_i@ukr.net

List of references in article

Global Competition: The New Reality, Report of the President's Commission on Competitiveness, vol. 2. Washington, D.C.: U.S. Government Printing Office, 1985.
Sevruk, I. M., and Tropynina, A. S. “Konkurentospromozhnist natsionalnoi ekonomiky v umovakh hlobalizatsii“ [Competitiveness of the National Economy in the Context of Globalization]. Biznes Inform, no. 5 (2019): 20-28. DOI: 10.32983/2222-4459-2019-5-20-28
Melnyk, A. F. et al. Natsionalna ekonomika [National Economy]. Kyiv: Znannia, 2011.
Polunieiev, Yu. V. “Tekhnolohiia ekonomichnoho proryvu: konkurentospromozhnist krainy ta vyznachennia stratehichnykh oriientyriv“ [Technology of Economic Breakthrough: The Country's Competitiveness and Determination of Strategic Guidelines]. Demohrafiia ta sotsialna ekonomika. 2008. http://dspace.nbuv.gov.ua/bitstream/handle/123456789/8797/03-Poluneev.pdf
“Institute of Management Development“. IMD. http://www.imd.org
Iliukhina, V. V. “Teorii konkurentospromozhnosti natsionalnoi ekonomiky“ [Theories of Competitiveness of the National Economy]. Naukovyi chasopys NPU imeni M. P. Drahomanova. Seriia 18 : Ekonomika i pravo. 2013. https://enpuir.npu.edu.ua/bitstream/handle/123456789/23211/Iliuhina.pdf?sequence=1&isAllowed=y
Skrypnyk, N. Ye., and Khairutdinov, E. O. “Konkurentospromozhnist natsionalnoi ekonomiky: sutnist i suchasni pidkhody do tlumachennia“ [Competitiveness of the National Economy: Essence and Modern Approaches to Interpretation]. Naukovyi visnyk Khersonskoho derzhavnoho universytetu. Seriia : Ekonomichni nauky. 2016. http://www.ej.kherson.ua/journal/economic_16/4/9.pdf
Tsymbaliuk, I. O. “Mizhnarodna podatkova konkurentsiia: perspektyvy ta realii“ [International tax Competition: Prospects and Realities]. Visnyk Pryazovskoho derzhavnoho tekhnichnoho universytetu. Ser. : Ekonomichni nauky. 2012. https://core.ac.uk/download/pdf/153576353.pdf
Ivanov, Yu. B., and Chumkova, O. O. “Shchodo vyznachennia vydiv podatkovoi konkurentsii“ [Regarding the Definition of Types of Tax Competition]. Ekonomika rozvytku, no. 1(53) (2010): 5-8.
Romanenko, V. “Konkurentospromozhnist natsionalnoi ekonomiky: systemnyi pidkhid“ [Competitiveness of the National Economy: A Systemic Approach]. Visnyk KNTEU. 2012. http://visnik.knute.edu.ua/files/2012/02/2.pdf
Wilson, J. D., and Wildasin, D. E. “Capital tax competition: Bane or Boon?“ Journal of Public Economics, vol. 88, no. 6 (2004): 1065-1091.
Tsybulska, E. I. “Konkurentospromozhnist natsionalnoi ekonomiky: doslidzhennia sutnosti v epokhu ekonomiky znan“ [Competitiveness of the National Economy: A Study of the Essence in the Era of the Knowledge Economy]. Naukovyi visnyk Uzhhorodskoho natsionalnoho universytetu. 2017. http://www.visnyk-econom.uzhnu.uz.ua/archive/16_2_2017ua/34.pdf
Frolova, N. B. “Podatkova konkurentsiia: novi vyklyky reformi podatkovoi systemy Ukrainy“ [Tax Competition: New Challenges to the Reform of the Tax System of Ukraine]. Ekonomika i prohnozuvannia. 2009. http://eip.org.ua/docs/EP_09_3_48_uk.pdf
Akulova, H. V. “Modeliuvannia povedinky ekonomichnykh ahentiv v umovakh podatkovoi konkurentsii“ [Modeling the Behavior of Economic Agents in Conditions of Tax Competition]. http://dspace.puet.edu.ua/bitstream/123456789/8596/1/%d0%90%d0%b2%d1%82%d0%be%d1%80%d0%b5%d1%84_%d0%90%d0%ba%d1%83%d0%bb%d0%be%d0%b2%d0%b0_%2011-02-2019.pdf
Kosach, I. et al. “Regulatory policy in the context of effective public governance: evidence of Eastern European Countries“. Cuestiones Politicas, vol. 40 (72) (2022): 456-473. DOI: 10.46398/cuestpol.4072.26