THEORETICAL BASIS OF BUDGETARY REFORM (IN THE CONTEXT OF THE UKRAINIAN REALITIES)

Abstract

Introduction. Budget reform is a form of solving the problems that have accumulated in the budgetary system of Ukraine in the course of its development. Problem. For successful budget reform, it is very important to clearly outline its theoretical basis within the framework of a more general theory - public finance, which is developing in the context of the main areas of economic theory. Purpose: to consider (according to the main areas of economic theory) the provisions of the theory of public finances, as well as special theoretical approaches to budgeting and reforming the budget system, which, based on the realities of today, can form the theoretical basis of budget reform in Ukraine. The presentation of the material of the article. The article shows that within the classical theory of public finance, the scientific provisions of the German cameramen regarding optimal tax rates, physiocrats regarding balancing of budget revenues and expenditures, representatives of classical political economy regarding budgeting favorable conditions for the market, representatives of the German historical school concerning an increase in the share of government spending in GDP, marginalists on the equivalence of taxes and public goods, representatives of neoclassical eq. onomic school to introduce a progressive tax system. It is noted that within the framework of the modern theory of public finances, the scientific provisions of Keynesianism and neo-Keynesianism on countercyclical budgetary regulation of the economy, monetarism regarding the influence on the aggregate demand for changes in the amount of money in circulation, the new neoclassicism to reduce the tax burden on business, and the non-classical synthesis are important policies based on social justice, and neoinstitutionalism with respect to state budgeting institutions. It also emphasized the need to use specific theoretical approaches to reforming the country's budgetary system. Results and its discussion. Selected scientific provisions of the budget reform may find practical application provided that the Ukrainian realities of military-political and socio-economic content are taken into account. Conclusions. The scientific provisions of the classical and contemporary theory of public finances, as well as specific theoretical approaches to reforming the budget system, formulated in line with the main lines of economic thought, can form the theoretical basis of budget reform in Ukraine. Their use in the development and implementation of the reform must be based on the Ukrainian realities of today.