Formation of state protection for urban passenger transport enterprises

Abstract

This paper considers the task to provide state financial protectionism under the conditions of today's challenges. A model of effective interaction is proposed, which takes into account selective fair financing based on indicators of the investment attractiveness of the i-th region and the priority of the i-th region. The calculations proved the independence of the regional financing priority indicator on the level of investment attractiveness of the region, or vice versa. The methodology was tested on the example of urban passenger transportation entrepreneurship under the conditions of challenges that have arisen. According to the results, those territories that are recognized as the most affected and vulnerable, and the problem of support of which can be solved only with the help of state intervention, are eligible for state protectionism. The results of the calculations show that the distribution of financial funds in the amount of state finances S=1 allocated to support entrepreneurship is carried out proportionally. A comprehensive approach made it possible to determine the regions for state funding, while the most affected regions receive the largest share of financial investments – Luhansk, Chernivtsi, Kherson, Donetsk, Mykolaiv, and Sumy oblasts, which will receive funding to support urban passenger transportation, in the amount of 17.01 %, 16.89 %, 16.74 %, 16.57 %, 16.55 %, and 16.24 %, respectively. This study is of practical interest for state management bodies as it provides methodological recommendations for the allocation of funds to support the most affected regions. It is also useful for researchers studying financial provision, protectionism, and public administration, and it is recommended that future research be conducted taking into account the level of socio-economic development of states