Social Responsibility of the State and Business as a Condition for the Development of the Social Economy

Abstract

The purpose of this article is to analyze the need and features of social responsibility of the state and business as a mechanism for combining their interests and the conditions of social economy development on the basis of social partnership. The study of social responsibility of the state and business as a condition for the development of the social economy is based on the analysis, processing, and systematization of scientific professional economic literature. Social responsibility expresses such a system of social relations, a set of voluntary and established means for their functioning, which would provide normal conditions for the interaction of all actors and become a guarantor of their stability. The authors conclude that the interaction of the state and business on the basis of social responsibility has a number of benefits, among which are the following: the formation of effective mechanisms for social dialogue; increase of the competitiveness of business and the country; implementation of socio-economic development strategies by consolidating joint efforts; acquirement of business guarantees to protect their interests from corruption, and others. One of the directions of formation of systemic social responsibility is called social partnership, which is realized through the following interactions: the state assumes responsibility for social guarantees for citizens, receiving in return confirmation of the legitimacy of its power; the state must provide entrepreneurs with guarantees of property rights, a favorable business climate, and business support; coordination of interests between society and business takes place in the process of supporting the principles of social responsibility by entrepreneurs, who, in turn, feel the support of their interests by society; public organizations in this interaction play the role of a “connecting element” because, on the one hand, they are able to protect the interests of business, and, on the other hand, they are able to lobby the interests of business before the state. The authors of the article claim that in Ukraine in order to accelerate socio-economic development and spread systemic social responsibility it is necessary to do the following: intensify the influence on the formation of social partnership of public organizations; promote the involvement of citizens and the business sector in active activities in public organizations; and form effective mechanisms of public control over the implementation of state policy. The latter will be an important step for the development of the social economy as the most promising form of combining the interests of economic actors.

Keywords

• social economy
• state
• business
• social responsibility of the state
• social state
• social responsibility of business
• social partnership