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THE ANALYSIS OF THE EXPEDIENCY OF PROVIDING SUPPORT FOR SMALL BUSINESS ENTITIES AT THE MACROLEVEL

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Author(s): N. Ostapenko

Journal: Economics of Development
ISSN 1683-1942

Volume: 67;
Issue: 3;
Start page: 42;
Date: 2013;
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Keywords: expediency | small business | support | GRP per capita | development | efficiency

ABSTRACT
The issues of small business efficiency development, and influence of certain support measures on this process are studied insufficiently.The aim of the article is to determine the influence of support measures on the development of small business.The method of the correlation analysis at regional level of Ukraine and ARK (25 cases) is used. From the carried out correlation analysis at the regional level it is possible to note that quantitative parameters of small business development aren't coordinated with qualitative parameters (a share in volumes of realization, an employment share at small enterprises). Also quantitative parameters don't determine region development (correlation with GRP per capita is absent). Thus qualitative parameters of small business development considerably correlate with an indicator of regional development (GRP per capita), and also define the business development level on a certain territory.Having carried out the correlation analysis between indicators of development and support of small business at regional level, it is possible to note that the development of these actions is separate from its expediency at the macrolevel (correlation coefficients are insignificant).On the basis of the conducted research the following suggestions to increase the support efficiency and stimulation of small business development were formulated. It will be more effective to change from quantitative stimulation of small business development to its qualitative support; it will be expedient to diversify objects of economic support.The main conclusion from the conducted research is that actions for support are isolated at the macrolevel and don't consider features of quantitative and qualitative development of small business at the regional level. This isolation of actions is caused by the lack of long-term strategy of development of small business at the national level.

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