Title: Inequality in the distribution of income as a threat to the sustainable development of united territorial communities in Ukraine

Authors: Lidiіa Horoshkova; Ievgen Khlobystov

Addresses: Department of Ecology, National University of 'Kyiv-Mohyla Academy', Skovorody St. 2, Kyiv 04070, Ukraine ' Department of Ecology, National University of 'Kyiv-Mohyla Academy', Skovorody St. 2, Kyiv 04070, Ukraine

Abstract: Current decentralisation and reform of the administrative and territorial structure of Ukraine, the issue of overcoming inequalities and disparities of territorial development in Ukraine by building effective system of financial management for united territorial communities as basis for territories' and country's sustainable development becomes especially relevant. The study analyses effectiveness of intergovernmental fiscal relations system to income distribution within UTCs in the context of inequalities and imbalances, and the current system of UTCs' expenditures. It has been shown that in the current legal framework regarding UTCs there are no effective guarantees of optimal, balanced budget allocation between UTCs settlements-members. To overcome current disparities in expenditures' distribution of a UTC budget, it has been proposed to use economic and mathematical model, which allows to take into account both the dynamics of UTC per capita income and changes in its population.

Keywords: inequalities; territorial development; sustainable development; united territorial community; efficiency; financial sustainability; reverse subsidy; basic subsidy; budget expenditure; public goods; population size; migration; economic-mathematical model; Ukraine.

DOI: 10.1504/IJGENVI.2021.121010

International Journal of Global Environmental Issues, 2021 Vol.20 No.2/3/4, pp.109 - 122

Accepted: 04 Nov 2021
Published online: 21 Feb 2022 *

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