Stimulating balanced economic growth

The role of the state in a market economy is manifested through its functions. The state's activities are aimed at achieving the genealogical goal - the human good, its moral and physical well-being, the maximum legal and social security of the person.

As a rule, the state corrects those "imperfections" that are inherent in the market mechanism and with which it either can not cope, or this decision is ineffective. The state takes responsibility for creating equal conditions for the competition of entrepreneurs, for effective competition, for limiting the power of monopolies. It also cares about producing enough public goods and services, because the market mechanism is not able to properly meet the collective needs of people. The state's participation in economic life is also dictated by the fact that the market does not ensure a socially equitable distribution of income. The state should take care of the disabled, the poor, the old. He also belongs to the sphere of fundamental scientific developments. This is necessary because for entrepreneurs it is very risky, extremely expensive and, as a rule, does not bring quick incomes. Since the market does not guarantee the right to work, the state has to regulate the labor market, take measures to reduce unemployment. In general, the state implements the political and socio-economic principles of this community of citizens. It actively participates in the formation of macroeconomic market processes.

The economic functions of the modern state are rather many-figured and complex. Each function of the state has a subject-political description. Its content shows what is the subject of the state's activities, what means are used to achieve this or that goal. Two groups of regulatory functions of the state can be distinguished:

• a)    Functions of providing the legal basis for functioning of the market, as well as the function of stimulating and protecting competition as the main driving force in the market environment;

• b)    Functions of income redistribution, adjustment of resource allocation, ensuring economic stability, economic growth.

We give these functions a brief description.

One of the most important functions is the stabilization of the economy and the stimulation of balanced economic growth. A system of defined measures in the area of budgetary, monetary and fiscal policy is trying to overcome the crisis, the decline in production, and reduce inflation. To this end, it stimulates the aggregate demand for goods and services, investment, employment, regulates bank interest and tax rates. In general, the state for smoothing cyclical fluctuations during the economic downturn is conducting a policy of activating all economic processes, and in the period of its ascent seeks to restrain business activity.

Especially it is necessary to allocate function of maintenance of employment. This is one of the most acute problems in the modern market system. The mechanism of the market does not automatically realize the right to work for those who can and want to work. For the effective operation of the market requires an optimal reserve of labor. This poses many complex problems for the state. His duty is to regulate the labor market in order to maintain a certain level of employment, material support for people who lost their jobs or who could not find them. It is known that the market economy does not ensure full employment of the population. In it, forced unemployment is inevitable (the natural rate is 6%). Unemployment is not only a serious social problem, but also an under-produced gross national product, a reduction in consumer demand and tax revenues, and an increase in the state's spending on benefits. Therefore, the state seeks to ensure full employment of the able-bodied population, regulates the labor market, for which it creates appropriate employment services, organizes new jobs, retraining and retraining the workforce, etc.

Used sources:

• 1.    The Cabinet of Ministers of the Republic of Uzbekistan adopted Resolution No. 106 of April 10, 2017, "On measures to organize the activities of free economic zones,"

• 2.    Alexey Kireev. International Economics. Part one. Moscow. International relationships. 2000

• 3.    Scientific and Practical Journal The market, money and credit, 12/2012.

• 4.    .World economy. O.V. Kornienko. M: Peter. 2010.

• 5.    Мирзахолов Х. Т. АКТУАЛЬНЫЕ ПРОБЛЕМЫ ИННОВАЦИОННОГО   СОДЕРЖАНИЯ   КАЧЕСТВА

  ВЫСШЕГО ОБРАЗОВАНИЯ //Теория и практика современной науки. – 2017. – №. 4. – С. 622-625.