Abstract
The article presents the results of studying the impact of crises in the world economy on the institution of bankruptcy. Given that the spread of the coronavirus pandemic (COVID-19) has provoked a new wave of crises in the world economy since the end of 2019, it is important to study the impact of these processes on the solvency of economic entities to justify its regulation at the national level. The study uses a complex of complementary methods of scientific identification of economic processes and phenomena: the system-structural, comparative and statistical analysis. The information base of the research is formed by statistical and analytical materials and informational and analytical collections, bulletins and reviews, a wide range of domestic and foreign literary sources, and results of own research. The main critical periods that the world economy has gone through since 1997 are analyzed. It is determined that the global pandemic, which began in 2020, has qualitatively changed the situation in the world economy: global production chains of value creation were broken, which led to failures in the production processes of many companies. The results of the first quarter 2020 raised the issue of the beginning of the global recession and the economic crisis. The article analyzes the first results of the influence of external and internal factors on the national economy, mechanisms of state support for business and their effectiveness. In this situation, one of the consequences of the crisis will be a rapid spread of bankruptcies, both of large companies and small businesses. The negative factor, along with the recession in the world economy (external demand), is the reduction of domestic consumption in national economies. Thus, the most acute is the attempt to provide recommendations aimed at smoothing certain causes of organizations’ bankruptcies identified in the given analysis. It is substantiated that in this situation, the bulk of governmental efforts should be aimed at supporting the liquidity of companies, defer payment of taxes and provide the necessary financial guarantees that should help avoid possible bankruptcy due to falling demand and disruptions in global value chains.
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