On the role of the state in the economy: directions of regulation and management challenges in the Russian conditions

The article is devoted to a comprehensive analysis of the role of public administration in the Russian economy, with a special focus on the challenges and dysfunctions that limit its effectiveness. The authors substantiate the objective need for the public sector to actively participate in solving strategic and socioeconomic problems. Explores the main issues that hinder the sustainable development of the national economy at the current stage, which require solutions at the federal and regional levels. The article identifies key areas of public regulation, including socio-economic policy, infrastructure development, and ensuring social stability. The study focuses on a critical analysis of the problems in the public administration system. It examines systemic issues such as the cumbersome organizational structure of public administration, the inefficient use of budget funds, the presence of bureaucratic barriers, the prevalence of corruption, the lack of social responsibility among public officials, and the lack of transparency in public decision-making. The authors conclude that the management factor, rather than the lack of regulatory mechanisms, is the main obstacle to achieving the goals of inclusive socio-economic development. Based on the analysis, the paper proposes directions for improving management practices. It concludes that the potential of the public sector and regulatory instruments cannot be fully realized without a thorough modernization of the public administration system.