Scientific and practical journal
Regional Economy

Regional Economy -- Year 2018, Issue 2(88)

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Regional Policy and Territorial Development

Repository of Institute of Regional Research UDC 332.142.4:711.451:911.375; JEL O18, P25, R12
Melnyk, M. I., Yaremchuk, R. Ye., & Shchehlyuk, S. D. (2018). Rol' velykykh mist u aktyvizatsiyi endohennoho rozvytku rehioniv [The role of city centers in intensifying the endogenous developments of regions]. Rehional'na ekonomika - Regional Economy, 88 (2), 3-14. Retrieved from [in Ukrainian].

Sources: 3

This article has revealed the peculiarities of the influence of the oblast city centers on the endogenous regional development by way of an analysis of the basic local potentials of urban economy, as well as brought to light the main problems of the mobilization of endogenous resources. The current urbanization trends in Ukraine have been estimated within the context of providing endogenous development, and the main obstacles to the realization of the scenario of endogenous development have been identified: demographic, economic and institutional ones. The development of the oblast city centers has been analyzed according to their key indicators, the comparison of the results of urban and regional development during the years 2010-2016 has been carried out, the indicators of the elasticity of the growth rates of the city and oblasts have been calculated, conclusions on ensuring the positive impact of oblast centers on their own regions and the reasons for their absence have been made. The measures towards the effective use of local resources, the reduction of social stratification of the population, providing them with a wider access to basic services have been proposed. The implementation of a new development policy of urban centers as hubs of economic activity will contribute to the cities’ endogenous development, to the increase of their global competitiveness. 
endogenous development, urbanization, cities-oblast centers, regional development, coefficients of elasticity 

Repository of Institute of Regional Research UDC 351.863:[339.137:332.1]; JEL H56, O18, R58
Bilyk, R. R., & Shults, S. L. (2018). Zabezpechennya ekonomichnoyi bezpeky yak systemna umova formuvannya konkurentnykh pozytsiy v ekonomitsi rehioniv [Ensuring economic security as a systemic condition for the formation of competitive positions in the economy of the regions]. Rehional'na ekonomika - Regional Economy, 88 (2), 15-23. Retrieved from [in Ukrainian].

Sources: 6

The paper pays special attention to the basic provisions of the new state regional policy paradigm in Ukraine, which should take into account the modern peculiarities of current reforms in the sphere of authorities’ decentralization. Innovations of this policy are characterized in terms of its priorities and strategic goals of State Regional Development Strategy as well as its implementation instruments for the nearest future. The system of state regional policy’s principles in terms of economic security maintenance as the system condition of competitive positions forming for the economy of Ukrainian regions is outlined. The list of activities to be undertaken in the sphere of legislative ground improvement and economic security strengthening is drawn. Priority directions of regional authorities’ activity directed at attraction and exploitation of modern set of instruments of management influence are suggested. 
state regional policy, competitive ability, regions’ economic security, principles, strategic goals, set of instruments 

Repository of Institute of Regional Research UDC [338.48:61]:379.137:330.341.1; JEL R10, R19
Vakhovych, I. M., Zabedyuk, M. S., & Malimon, V. V. (2018). Innovatsiyni tekhnolohiyi u zabezpechenni konkurentospromozhnosti rehional'noho rynku medychnoho turyzmu [Innovative technologies in ensuring the competitiveness of the regional market of medical tourism]. Rehional'na ekonomika - Regional Economy, 88 (2), 24-31. Retrieved from [in Ukrainian].

Sources: 5

In the article the features of implementation of innovative technologies in various spheres of economic activity are considered. The typology of innovations at the regional market of medical tourism (RMMT) is done, which provides selection of innovations by the content, time (reason) of entering the market, the subject of development. On this basis the priorities of their implementation in such a market are substantiated and detailed by the stages of the provision of services (stages of attracting tourists, servicing tourists, provision of medical services and provision of additional tourist services). The schematic representation of the priority of innovations generating at the RMMT is outlined, which will allow it to be established and developed in the regions of Ukraine. The process of creation and commercialization of innovations in the medical sphere at the RMMT is given. 
innovations, innovative technologies, regional market, medical tourism, medical sphere, tourist services 

Repository of Institute of Regional Research UDC 338.244.47(477); JEL E60, O18, R58
Zhuk, P. V. (2018). Dosyahnennya ta problemy reformy detsentralizatsiyi v Ukrayini [Achievements and problems of decentralization reform in Ukraine]. Rehional'na ekonomika - Regional Economy, 88 (2), 32-38. Retrieved from [in Ukrainian].

Sources: 7

The issue of the course of administrative and territorial reform as well as budget and financial decentralization in Ukraine is outlined. Reform achievements and problem points of its accomplishment are emphasized, in particular those related to the necessity to overcome the obstacles stemming from the voluntariness principle of territorial communities’ consolidation into more capable administrative and territorial units of basic level. The ways to overcome these obstacles for the sake of successful reforms are suggested. 
decentralization reform, local self-governance, consolidated territorial communities, budget capability 

Cross-Border Cooperation

Repository of Institute of Regional Research UDC [339.1:338.48]:339.92:005; JEL L83, F15, F29
Malska, M. P., & Bilanyuk, O. P. (2018). Kontseptsiya smart-spetsializatsiyi yak metodolohichna osnova rozvytku transkordonnykh turystychnykh rynkiv [The concept of smart specialization as a methodological basis for the development of cross-border tourist markets]. Rehional'na ekonomika - Regional Economy, 88 (2), 39-43. Retrieved from [in Ukrainian].

Sources: 9

The potential of the concept of smart specialization and its application for the development of cross-border tourism markets is considered. The Europe 2020 Strategy, based on the principles of smart specialization, sustainable and inclusive development, has been analyzed. The prospects for the development of tourism in the context of the priorities of the Europe 2020 Strategy are defined: according to the Strategy, tourism is not allocated as a sphere of concentration of resources, at the same time, tourism is stimulated on the basis of smart specialization. It was found that 28 EU regions chose tourism as one of the priority activities in innovative development strategies. Another 44 regions focus on various aspects of economic development indirectly related to the tourism industry. The directions of development of tourism on the basis of smart specialization are substantiated, among them: modernization by means of application of different kinds of technologies, which will have an impact on the efficiency of tourism sphere functioning; activization of scientific researches on the functioning of the tourism sector, introduction of scientific research into practical activities; the creation of clusters, the development of local networks to include more local entrepreneurs; use of energy efficient buildings and environmentally friendly transport; production of innovations in such areas as medical tourism, health tourism, etc.; search for new entrepreneurial initiatives in the field of tourism that would allow to attract and effectively use human (including creative) potential, for example, business or active tourism. It has been established that in Ukraine, smart specialization as an innovative decision-making system in the field of regional and structural policy in practice has not been developed at all. 
smart specialization, tourism, regional development, smart region, cross-bourder tourist markets 

Social Policy

Repository of Institute of Regional Research UDC 338.46:37(477); JEL O14, F29
Semiv, L. K., & Semiv, A. R. (2018). Suchasnyy etap formuvannya ekonomiky znan' v Ukrayini [The modern stage of the knowledge economy formation in Ukraine]. Rehional'na ekonomika - Regional Economy, 88 (2), 44-54. Retrieved from [in Ukrainian].

Sources: 22

The preconditions for the formation of the knowledge economy by indicators, which reflect the development of the sector of increased demand for knowledge in Ukraine, are studied. The peculiarities of attracting knowledge factors into the Ukrainian economy are drawn in the context of separate indicators of the development level of the increased demand for knowledge sector (development of high-tech sector, investment in the knowledge sector, employment in the field of science and high technologies, volume and structure of venture capital, participation of private capital in R & D funding, R & D expenditure structure according to the stages of scientific research, cross-country flows of knowledge, as well as international cooperation in the field of science and innovations, strengthening of cooperation between firms we research organizations and universities, the mobility of scientists and engineers, especially students who go to study in other countries, etc.). The analysis of the attraction and use of knowledge factors in the Ukrainian economy (based on certain indicators of the level of development of the sector of increased demand for knowledge) showed a multifaceted and, in some cases, a disappointing picture of processes and phenomena in the field of innovative development of the country in recent years. The analysis of the calculated parameters of economic and statistical models of the knowledge factors’ influence on labor productivity in the period after 2008 with its complex political and socio-economic problems and events is made. The results of calculations provide that the best model of economic development of Ukraine is uncertain today. There is no clear strategy for using and developing the country’s scientific and technical potential; unformed legislative field for the effective functioning of national and regional innovation systems. Solving problems requires the following subsystems of the national innovation system: generation of new knowledge (academic, higher education); education and training; production of products and services; innovation infrastructure. 
knowledge economy, factors of knowledge, OECD indicators, economic and statistical models, labour productivity, national innovative system 

Repository of Institute of Regional Research UDC [338.46:378]:332.1(477); JEL H52, I21, I22, I25, I28
Sadova, U. Ya., & Hrynkevych, O. S. (2018). Rozvytok vyshchoyi osvity v Ukrayini ta yiyi rehionakh v umovakh vyklykiv XXI stolittya [Higher education development in Ukraine and its regions in the context of the 21st century challenges]. Rehional'na ekonomika - Regional Economy, 88 (2), 55-68. Retrieved from [in Ukrainian].

Sources: 38

Education for sustainable development is an important institution of the integration process of the knowledge economy. This situation also concerns Ukraine, which is currently experiencing particularly difficult times of its state formation.
This article investigates the state of the situation in the field of higher education in Ukraine, highlighting global and national of geopolitical, economic and other transformations of the 21st century.
The purpose of the article is to identify the main factors, restrictions and improvement directions of institutional support for the development of higher education in Ukraine with regard to global and national challenges of the 21st century.
The research presented in this article is based on the principles of systematic and comparative analysis, as well as methods of statistics and sociology. The empirical base of the research is data of national and international statistics and special sociological surveys on the issues of economy and management of higher education in Ukraine.
The structure of the article includes the following sections: Ukraine in the international rankings, key global and national trends in the development of higher education, including business education, results of the national surveys concerning the quality of higher education in Ukraine and graduates’ employability, conclusions. 
higher education, development, Ukraine, regions, challenges 

Economics and National Economy Management

Repository of Institute of Regional Research UDC 330.101:536:332.14:330.15; JEL Q57, R58, R12
Hryniv, L. S., & Khodyko, D. I. (2018). Formuvannya prostorovoyi modeli dlya staloho rozvytku: fizyko-ekonomichnyy pidkhid [Creation of the spatial model for sustainability: a physical economic approach]. Rehional'na ekonomika - Regional Economy, 88 (2), 69-74. Retrieved from [in Ukrainian].

Sources: 15

We interpret the potential of natural capital productivity in a spatial ecological social economic system (ESES) as the stock of free energy. According to the definition of entropy flow in an open system, the «negative entropy» inflow occurs into the Earth’s biosphere, with the sustainability of the negentropic budget maintaining the living matter mass conservation law posited by Volodymyr Vernadsky. Introduction of spatial heterogeneity into the free energy definition reveals the non-additive property of its volume across spatial subsystems of the biosphere. This further emphasizes the conceptual shortcomings of stakeholder-centric and property-based sustainability decision-making models. Instead, trajectories of system’s dynamics on different scales should become the subject of preventive decision-making and risk management by economic agents and regional stakeholders, acting in a multi-layered communication and coordination network with horizontal as well as hierarchical information and resource flows. The case of the Carpathian region is used to illustrate the substantive necessity and institutional prerequisites of a new spatial model for sustainable development. 
natural capital, spatial ecological social economic systems, free energy, negentropy, preventive governance for sustainability 

Repository of Institute of Regional Research UDC 339.3:330.567.2/.4; JEL L10, L11, L51, L81
Popadynets, N. M. (2018). Suchasni tendentsiyi rozvytku vnutrishn'oho rynku spozhyvchykh tovariv [Modern tendencies of internal consumer market development in Ukraine]. Rehional'na ekonomika - Regional Economy, 88 (2), 75-79. Retrieved from [in Ukrainian].

Sources: 6

Modern tendencies of internal consumer market development in Ukraine are defined taking into account the financial and economic crisis (2008-2009), unstable social and political situation in the country (2013-2014), swift national currency devaluation and strong dependence on imports. The retail turnover volume indices of Ukrainian enterprises and the dynamics of retail turnover are analyzed, in particular for food and non-food items. The ways to promote activation of internal consumer market development in Ukraine are suggested. 
internal consumer market, non-food items, food items, goods turnover, financial and economic crisis 

Economics and Business Management

Repository of Institute of Regional Research UDC 339.33:332.132; JEL L81, R12
Bezpartochnyy, M. H. (2018). Vykorystannya reinzhynirynhu pry optymizatsiyi biznes-protsesiv pidpryyemstv optovoyi torhivli rehionu [Use of reengineering in business processes optimization at a region’s wholesale enterprises]. Rehional'na ekonomika - Regional Economy, 88 (2), 80-88. Retrieved from [in Ukrainian].

Sources: 23

Based on the statistical data for activities of business entities, the specifics of functioning, current state and main problems of the wholesale enterprises in a region were investigated. The main problems are: reduction of the number of wholesale enterprises in regions of Ukraine, deterioration of economic performance (loss, debt growth, depreciation of warehouse space), lack of further development strategy, etc. In order to understand the operational processes of functioning and ensure the further development of the wholesale enterprises in a region, the essence of concepts of «reengineering», «business process» and «optimization of operational activities» was considered. Taking into account the practical activity of wholesale enterprises in a region, the key directions of business processes optimization were identified, in particular, improvement of the technical-technological structure, formation effective personnel policy, improvement of the trade-logistics service, information provision of operational activity, improvement of interconnections with consumers at the market. In order to optimize the business processes of wholesale enterprises in a region, an appropriate scheme with the use of reengineering was proposed. A key aspect here is the ranking of business processes at the wholesale enterprises region, use of reverse monitoring, development of business process optimization models and the formation of organizational-economic and information support systems. Perspective ways of reengineering development for business processes in the context of ensuring the efficiency of wholesale enterprises’ operation in a region are suggested. 
reengineering, business processes, wholesale enterprises, optimization, region 

Foreign Experience

Repository of Institute of Regional Research UDC 339.923:061.1(438)(477); JEL C50, E27, F43, O18, O52, R58
Storonyanska, I. Z., & Prokopiuk, A. (2018). Formuvannya novoyi modeli rehional'noho rozvytku: dosvid Pol'shchi ta vektory dlya Ukrayiny [The new model of regional development: Polish experience and vectors for Ukraine]. Rehional'na ekonomika - Regional Economy, 88 (2), 89-97. Retrieved from [in Ukrainian].

Sources: 7

Process of structural transformation of the regional economy and conceptual bases of working out of regional policy of structural modernization of economy under conditions of European integration processes is researched. It is based on imperatives of smart specialization. Comparative analysis of the effectiveness of structural transformation of Polish and Ukrainian regions under conditions of European integration revealed that the structure of the regional economy of Ukraine is close to the structure of the Polish economy.The matrix of market drivers and growth factors of selected groups of sectors of economic of Ukraine on the criteria of competitiveness and innovation (tech industry, services, mass production, manufacturing and production of goods and services that do not participate in global trade, but are important for the formation of regional and local markets) is proposed. Formation of the matrix can determine optimal mechanisms for regional policy structural modernization of the economy to improve competitiveness of certain sectors of the economy of Ukraine in conditions of intensifying of integration processes. 
structural transformation, regional policy of structural modernization, structure of the regional economy, smart specialization, new industrialization 

Repository of Institute of Regional Research UDC 338.48:339.92(477)(438); JEL L14, L83
Pierscieniak, A., Puchalska, K., & Grzebyk, M. (2018). Kharakterystyka chynnykiv, shcho vyznachayut' mizhnarodne spivrobitnytstvo mizh Pol'shcheyu ta Ukrayinoyu u sferi turyzmu - pohlyad iz Pol'shchi [Characteristics of factors determining international cooperation between Poland and Ukraine in tourism area – Polish vision]. Rehional'na ekonomika - Regional Economy, 88 (2), 98-104. Retrieved from [in Ukrainian].

Sources: 20

The aim of the article is to identify influence strength and characterize factors conducive and blocking international cooperation development in the border areas of Poland and Ukraine. By entering the trend of institutional economics, key institutions supporting the development of cooperation in the region and responsible for creating a cooperation policy were identified. Research was conducted in 2018 in purposely selected departments of these institutions which were responsible for cooperation. In this context, an important research element was identification of institutional environment factors that develop or limit this cooperation. The most frequently mentioned factors limiting cooperation development in tourism area are: political situation behind the eastern border, Ukrainian and Polish legal regulations, frequent changes in local government authorities or conditions related to crossing the border. On the other hand, those which favored cooperation included informal social connections, curiosity about new perspectives in cooperation, interregional agreements or cooperation programs, Poland’s membership in the EU or modern forms of communication. 
tourism, international cooperation, Poland, Ukraine 


Repository of Institute of Regional Research Demchenko, V. V. (2018). Terytorial'nyy rozvytok i rehional'na polityka: suchasnyy stan ta oriyentyry podal'shykh reform [Territorial development and regional policy: the current state and guidelines for further reforms]. Rehional'na ekonomika - Regional Economy, 88 (2), 105-107. Retrieved from [in Ukrainian].

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