THE ECONOMIC FACTORS AND CONSEQUENCES OF SOCIAL INEQUALITY AND POVERTY

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  Inessa Sytnik

  Artem Stopochkin

  Bogdan Sytnik

Abstract

The purpose of the study is to determine the main factors and prerequisites for inequality and poverty of the population of Ukraine, as well as to identify the main consequences of this phenomenon and finding out of the main directions of the socio-economic policy of the state. Methodology. The article considers theoretical approaches to the definition of social inequality and poverty, as well as issues with fair distribution of national wealth. The results of the study confirmed the thesis of the authors that the problems of poverty and social inequality adversely affect the functioning of national socio-economic systems. It is proved that the most effective state is one which has a broad layer of the middle class, which ensures the rationalization of consumption, saving and investment processes. Practical significance. Based on official statistical data of the main macroeconomic indicators of the state development, this article studies main trends in the development of Ukrainian economy and its social component. The coefficients of the correlation dependence between the indicators of development of the social and economic systems of Ukraine are calculated and conclusions regarding the absence of a state system of equal distribution of national wealth are drawn. Value/originality. The result of the study is a statement about the need to modernize and reform the existing system of redistribution of national wealth in Ukraine with a view to reducing poverty and social inequality in the country.

How to Cite

Sytnik, I., Stopochkin, A., & Sytnik, B. (2017). THE ECONOMIC FACTORS AND CONSEQUENCES OF SOCIAL INEQUALITY AND POVERTY. Baltic Journal of Economic Studies, 3(2), 128-135. https://doi.org/10.30525/2256-0742/2017-3-2-128-135
Article views: 223 | PDF (Русский) Downloads: 16

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Keywords

poverty, social inequality, national wealth, distribution system, middle class.

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