Abstract
JEL Classification Codes: Hl 1, H40, H50 1. Introduction More than fifteen years issues of costs' efficiency and its increasing have been put on agenda in Russia. Accepting the Concept of process reform by Russian Government in early two thousandth became a milestone in the evolution of this issue. The reform was to shift the emphasis from budget funds and costs to by increasing the medium term liability and autonomy of process parties and funds managers. The concept accepted a set of brand-new approaches of public law budgets forming, according to the goals and expected results of state policy. Budget transfers were directly assigned to the functions and services, and much attention is paid to studying of the programs' results. Lately many sides of funds management in state entities' activity and process administration didn't indicate the progress in goals of increasing the costs' efficiency. Consequently, almost no conditions were created for increasing the efficiency of public law entities' activity and providing the quality service. The aim of the paper is studying of actual trends in Russia public law entities' activity and increasing their efficiency in cost of all levels. To achieve the goal authors started to solve problems such as indicating the place of Russia in a world ratings and indicators showing the quality of the state activity, defining a set of approaches to increase the efficiency of performance-based budgeting, examining the concept of system reform, identifying appropriate conditions to increase the efficiency of federal and local budgets, describing the essential problems of public law entities' activity in increasing the cost efficiency course and their solutions. 2. Theoretical, Informational and Empirical, and Methodological Grounds of the Research Global experience suggests applying a set of indicators which describe the results of public law entities' activity and state policy in general. Let us pick the most comprehensive ones along with emphasizing the Russia's rank. Firstly, we consider the LPI (Legatum Prosperity Index) introduced by The Legatum Institute of Great Britain. The index includes 79 indicators grouped into 8 classes highlighting the welfare and common life conditions like economics, entrepreneurship, health care, safety, personal liberties, and social capital. The weighted average value is calculated using the data collected from UN, the World Bank, OECD, WTO. In 2012, Russia rates the 66th from 142 countries examined while it's only 27th, 48th and 118th in health, management, respectively. Though, in 2015 the average rate reached 58th place, and Russia ranked 29th, 42th, and 106th in health, and management respectively. Secondly, we highlight the GCI (Global Competitiveness Index) presented at the WEF (World Economic Forum) and included 12 elements of global competitiveness to clarify the competition between the countries of different economic level. There we mind Quality of Infrastructure, Macroeconomic stability, Health and primary education, Higher education and training. In 2015 -2016 Russia has ranked 45th. Analysts consider affordable higher dynamic infrastructure, business regulation and inner competitiveness improvement as the advantages of Russian economy. However they emphasized that poor efficiency of state institutions, financial markets, lack of innovation potential and investor confidence became an obstacle in Russia's development (Emelkina, 2016; Fomina, 2016; Ivanova and Bikeeva, 2016). Likewise they noted key problems of Russia's development like corruption, inefficiency of government machinery, high tax rates to be a serious obstacle in resource allocation and competition growth (Stroeva et al. …
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