STRUCTURAL AND FUNCTIONAL CONSTRUCTION OF LIFE SUPPORT OF THE REGIONAL SYSTEM
Section: ECONOMICS
Abstract and keywords
Abstract (English):
The relevance of the problem under study is due to the search for reserves of the country's economic development, contributing to its advancement to an information-innovative society with a multi-sector socially-oriented economy, providing world standards for the quality of life and the sphere of living. The purpose of the article is aimed at improving the structure of the economy of the country and its regions, ensuring the efficiency of its functioning, the effectiveness of invested labor and capital. The leading approach to the study of this problem was the structural and functional construction of the regional system, the involvement of economic potential in the practice of management, due to regional opportunities.

Keywords:
region. regional paradigm, competitiveness, principles of the regional system, regional opportunities, life support of the region
Text
Publication text (PDF): Read Download

The formation of a new regional paradigm should be built taking into account the functioning of the life support system, the characteristics of its development.

Considering life support as an objective process related to significant stable relationships that have a direct impact on human life, his reproduction, the formation of conditions for existence and activity, it becomes necessary to determine the patterns of life support of the population, its characteristics.

As such patterns we put forward:

  • - the life support of the population living in the territory is the basis for the development and functioning of regional systems;
  • - the formation of life support for the population of the territory is a reflection of the internal conditions and relations arising in the regional system, as well as the result of the influence of external factors and connections of the large system, which can be represented by the world community, and the life support system of the population living in the territory, determined by the peculiarities of regional formation, the specifics of the regional economy, the forms and methods of its organization, as well as the conditions for the development of the regional economy.

The principles of forming a new regional paradigm for sustainable development of territorial systems include system-wide and specific principles.

The need to take into account the first group of principles is due to the consistency and general purpose of territorial entities, and it is obvious that the entire system is built depending on the target setting. We classify the principles of sustainability, efficiency and complexity as specific principles [1].

Sustainable regional development presupposes the observance of the triad, consisting of economic and social development and the preservation of the conditions of ecological balance within the boundaries of the territorial system.

The second specific principle is the principle of efficiency. It essentially stipulates one of the main conditions for the successful functioning of territorial systems, their competitiveness.

The third specific principle is the principle of complexity, according to which all regional systems, including the sphere of life support, should be built taking into account the use of the economic potential of the region, seeking to obtain a possible result through the involvement of regional resources in the turnover.

The construction of a life support system, in which the well-known system-wide principles of the formation of regional systems and the selected specific principles operate, determines the rationality of such a construction, contributes to the improvement of this process.

      Highlighting the patterns and principles of the formation of regional systems makes it possible to determine the assessment of their functioning. It is proposed to use the criteria formulated in accordance with the presented principles. Sustainability, efficiency and complexity are considered as criteria for such an assessment.

     The economic situation in Russia largely depends on how the socio-economic performance of regional systems is formed, which are a reflection of the main relations and connections of the limited space of the territory.

     The regional system is being formed in the field of combining economic, social and environmental spheres, which also applies to life support.

     The subsystems of the regional system are the economy of the region, societies, the natural environment.

   The spheres of economy, societies and ecology, combined in one territory, are conditionally distanced from each other.

    The division of the problems of the regional economy into social, economic and environmental does not mean that the solution of social problems is assigned to societies, economic - to the economy of the region, and environmental - to the ecological environment of the region [2].

   The solution of these problems is interdependent and progress in solving one of them makes it possible to come closer to this and, conversely, any deterioration of the situation in any of the spheres inevitably leads to an aggravation of the situation in the other two.

   In Russia as a whole, there is a relatively stable balance of social, economic and environmental parameters, although in some regions there is an inconsistency in the levels of social and economic activity and ecological balance.

In terms of the level of efficiency, positive trends have recently emerged, which are mainly associated with an increase in social and economic parameters of life support, which, to a certain extent, are influenced by the level of functioning of regional systems.

The construction of a life support system in a territory in which the well-known system-wide principles of the formation of regional systems and the highlighted specific principles of sustainability, efficiency and complexity operate, makes it possible to  cope successfully with the mission, formulated in the goal of the life support system.

Moreover, the rationality of such a construction is determined by specific principles, since each of them contains relative criterion parameters for the formation of the system, which must be guided by in the process of life support.

Failure to fulfill the condition of sustainability leads to a crisis of the regional system, thereby making its functioning problematic.

The imbalance of sustainability due to the economic component does not provide funds for the maintenance of the social and environmental spheres. The ecological imbalance, as a rule, has social consequences and is resolved at the expense of the economic component.

Social imbalances undermine the conditions for social stability and, ultimately, can  affect adversely economic growth. Consequently, adherence to the principle of sustainability of regional life support is mandatory in the functioning of regional systems, since it contains the factors of stable regional development.

The exclusion of the principle of the effectiveness of regional life support is tantamount to the denial of objectively effective economic laws and patterns.

The prevailing realities indicate the aspiration in any type of economic activity, in production, in entrepreneurship, to improve performance, increase efficiency, and increase the return on investment.

That is why, in market conditions, the development of the life support system is based on relations of economic interest.

In modern conditions, increasing the efficiency of the functioning of regional systems underlies their survival and competitiveness [3].

Ignoring the principle of complexity means denying the importance of a fuller use of the resources of the region, including the internal regional resources of life support.

In our opinion, the involvement of regional resources in the economic turnover should be based on the principles of their complex application, and only such use of them is justified.

At the same time, these needs are divided according to the characteristics identified in accordance with the definition of sustainability (social needs, economic needs and the observance of ecological balance).

Social needs include social protection, health care services, education and training services, cultural services, physical education services, etc.

Economic needs embody the material security of the population, which is characterized by its income, wages, pension and others.

Compliance with the ecological balance is ensured by environmental protection measures, the operation of treatment facilities, etc.

The structural elements of the system, linked into a single reproductive process in the region, which is a constantly renewed process of life support, participate in the exchange process, the production process and the distribution process.

The diagram shows the circuit, the change in the phases of reproduction:

• exchange,

• consumption,

• production,

• distribution.

In the process of life support, the satisfaction of the needs of the population, the restoration of the used labor resource in economic activity is transformed into the viability of the entire population and the working capacity of the employed population, which are subsequently switched to economic activity.

The continuity of the reproduction process implies the continuity of the entire life support system in the region. Otherwise, the lack of stability in the functioning of the entire life support system violates the constancy of regional reproduction, undermines the potential of the region.

The lack of the necessary social, economic and ecological balance, the lag of the individual components of this triad means the depression of regional systems.

First of all, it is necessary to develop and improve the legislative and regulatory framework for the development of the country's regions, which provides for overcoming the depression of small cities in Russia.

According to this, a complex of special legislative and regulatory documents for the rational development of regional systems is needed.

 Along with this, a number of regulations and documents should be adopted to develop measures for withdrawing depressed regions, which include small towns, from the current state and providing conditions for economic recovery in these regional systems.

Apparently, it is necessary to develop special documents on depressive small towns, for example, to define conceptual provisions for the withdrawal of small towns from the state of depression in order to provide a mechanism for overcoming depressiveness, depending on the specifics of the development of these cities.

To create conditions for the revitalization of economic activity in crisis regions, it is necessary:

• determination and assessment of their economic potential,

• taking into account the financial base for the development of these regions,

• analysis and assessment of the degree of involvement and use of regional resources in the economic turnover, an attempt to design the use of all regional opportunities in the future.

    In this regard, the development of forecast options and scenarios of the future can become an important tool for getting out of the state of depression in small towns.

     The involvement of forecasting methods in assessing the choice of ways to overcome the crisis of small towns will allow developing a system in which measures of state support for depressed regions of the country can be provided by including sources of functioning, budgetary and extra-budgetary funds, and here the opportunities and participation of local financial resources, initiatives of entrepreneurial structures operating within the considered regional formations are determined.

      In this regard, it is necessary to take into account possible sources of funding for measures to overcome depression, to determine the most favorable course of events, to know the directions leading to an undesirable result and, moreover, to provide steps to avoid this.

The search for opportunities for enhancing economic activity using the existing potential and involving new resources of the regions, apparently, should be directed towards expanding the scale of small business use. Moreover, there is a positive experience of this kind both in our country and abroad [4].

First of all, in solving this issue, it is necessary to promote the development of entrepreneurial initiative carried out within the framework of the rule of law.

For this purpose, work should be carried out on the formation of programs that provide the basis for the socio-economic situation in the region, consider the most promising directions for the development of its economy, identify possible adjustments to the economic complex. It is the adjustments of the economic complex that clarify the need to create or build up socio-economic structures with a focus on increasing the level of complexity of the region's economy, which increases the return on the used regional resources.

To  support the regions actively, including small towns, measures are being developed that directly relate to the development of regional labor markets, increase the level of employment of the able-bodied population.

These may include activities that require certain capital investments, which is associated with an increase in investment attractiveness, namely:

  • the creation of new enterprises and the opening of new jobs;
  • development of small private business;
  • implementation of regional projects;
  • increase in unemployment benefits;
  • ensuring the mobility of the labor force, the formation of a competitive employee;
  • training and retraining of personnel necessary in modern conditions, dictated by the demand for labor, including training in the skills of independent individual entrepreneurship;
  • raising public awareness of job vacancies.

Thus, the regional development of the life support of the regions justifies the need for tactical approaches to solving the main task of building a perfect model of sustainable development in Russia, where the solution of the problems of socio-economic development of regions, overcoming the structural imbalances of territorial entities and getting them out of the state of depression is of particular importance. The development of directions for support and giving them an impulse for self-development is associated with the improvement of the spheres of life support of the regions.

References

1. Yakobson L.I. The public sector of the economy: economic theory and politics: a tutorial. - M .: State University - Higher School of Economics, 2017. - 368 p.

2. Kaplan, R.S., Norton, D.P. Strategy Maps. Converting intangible assets into tangible outcomes // Harvard Business School Press. - Boston, 2014. - Vol. 16, Issue: 9/8. - P. 519-520.

3. Sheveleva R.N. On the issue of assessing the quality of life of the population // Regional economy: theory and practice. - 2018. - No. 14 (149). - P. 67-76.

4. Kostyleva L.V. Spatial aspects of socio-economic differentiation of the region's population // Economic and social changes: facts, trends, forecast. - 2017. - No. 3 (7). - S. 82-92.

Login or Create
* Forgot password?