CHALLENGES FOR FISCAL POLICY IN SUPPORTING SMALL BUSINESSES IN ECONOMIC CRISES: AN INTERNATIONAL PERSPECTIVE
Анотація
Introduction. Global economic shocks, pandemics, military conflicts, and geopolitical crises negatively impact small businesses’ activities, making them more vulnerable to external factors. During crisis periods, small enterprises face numerous challenges, including reduced demand, restricted access to financing, rising resource prices, and deteriorating solvency. In such conditions, governments implement fiscal measures to support small businesses and minimize the crisis’s negative consequences. However, implementing most fiscal measures comes with numerous challenges for governments.
Objective. The purpose of the article is to analyze fiscal measures to support small businesses during economic crises in the world in the context of overcoming challenges for the fiscal policies in crisis conditions and to outline the approaches and tools of the state support that can be effective in stimulating the development of small business in conditions of global economic shocks.
Results. The study explores current trends in implementing fiscal measures by governments to support small businesses during economic crises. It characterizes the main fiscal support measures for small businesses in crisis conditions and highlights common challenges to fiscal policy in helping small companies during economic crises. Based on the analysis, directions for fiscal policy to support small businesses in overcoming crises, adapting to modern challenges, preserving jobs, and ensuring long-term development are substantiated.
Conclusions. In the face of prolonged crisis conditions, fiscal policy supporting small businesses confronts a series of challenges (economic crises, military actions, climate change, etc.) that demand long-term solutions. These solutions should be based on the potential capabilities of small businesses and the development of alternative mechanisms for revenue mobilization, spending efficiency, debt management, and international cooperation. By focusing fiscal support measures for small businesses on stimulating digitalisation, environmental sustainability, innovative financing, and social entrepreneurship, small enterprises can adapt to modern challenges and ensure their competitiveness in a sustainable development environment.
Ключові слова
Повний текст:
>PDF
Посилання
Stiglitz, J. E., Rosengard, J. K. (2015). Economics of the public sector. Fourth International Student Edition. W. W. Norton, Incorporated. 2. Auerbach, A. J., Gale, W. G. (2009). Activist fiscal policy to stabilize economic activity. National Bureau Of Economic Research. BROOKINGS. Available at: https://www.brookings.edu/wp-content/uploads/2016/06/0929_activist_fiscal_gale.pdf.
Storey, D. J. (2016). Understanding the Small Business Sector. London: Pub. Location. https://doi.org/10.4324/9781315544335.
Diachun, O., Nahorniak, I. (2021). Stymuliuvannia rozvytku pidpryiemnytstva v Ukraini v konteksti yevropeiskykh standartiv [Promoting entrepreneurship development in Ukraine in the context of european standards]. Increasing the financial and economic potential of the subjects of economic relations as a basis for the progressive development of territorial and economic systems, Ternоpіl. Available at: http://elartu.tntu.edu.ua/handle/lib/35252.
Hlushchenko, S., Melnyk, A. (2021). Fiskalni stymuly ekonomichnoho rozvytku u sviti v umovakh pandemii COVID-19 [Fiscal incentives for economic development in the world under the condition of the COVID-19]. Naukovi zapysky NaUKMA. Ekonomichni nauky – Scientific Notes of NaUKMA. Economic Sciences, 6 (1), 45–51. Available at: https://ekmair.ukma.edu.ua/server/api/core/bitstreams/da58ebde-0276-4491-b95d-1859bd07910b/content.
Melnyk, T. Yu. (2022). Derzhavna pidtrymka ta stymuliuvannia rozvytku biznesu v Ukraini pid chas dii voiennoho stanu [State support and stimulation of business development in Ukraine during martial law]. Ekonomika, upravlinnia ta administruvannia – Economics, Management and Administration, 2, 3–11. https://doi.org/10.26642/ema-2022-2(100)-3-11.
Vatamanyuk-Zelinska, U., Kilochko, O., Zelinskyi., M.-P. (2022). Derzhavna finansova pidtrymka MSB v period voiennoho stanu [State financial support for smes during the war]. Ekonomika ta suspilstvo – Economy and Society, 45. https://doi.org/10.32782/2524-0072/2022-45-77.
Finance for an equitable recovery. International Bank for Reconstruction and Development. (2022). The World Bank. Available at: https://openknowledge.worldbank.org/server/api/core/bitstreams/e1e22749-80c3-50ea-b7e1-8bc332d0c2ff/content.
Fiscal Monitor: Fiscal Policy in the Great Election Year. (2024). International Monetary Fund. Available at: https://www.imf.org/en/Publications/FM/Issues/2024/04/17/fiscal-monitor-april-2024.
Fiscal Monitor: Fiscal policy from pandemic to war. (2022). International Monetary Fund. Available at: https://www.imf.org/en/Publications/FM/Issues/2022/04/12/fiscal-monitor-april-2022.
Songwe, V. (2022). Fiscal response to the COVID-19 crisis. Available at: https://financingun.report/essay/fiscal-response-covid-19-crisis.
Fiscal implications of the deteriorating global economic environment for EMDEs (2022). International Bank for Reconstruction and Development. The World Bank. Available at: https://documents1.worldbank.org/curated/en/099441309292216138/pdf/IDU00d81cc3a0a93c043d9081cd08bc8b8d208f8.pdf.
Посилання
- Поки немає зовнішніх посилань.
West Ukrainian National University