Vol. 12 No. 2 (35) (2021)

Nowdays instability and various manifestations of inequality pose challenges to  human development. The article analyzes the dynamics of indicators characterizing the human development of Armenia aiming at comparing the results of the analysis with international trends, to assess the existing gaps and to propose solutions. The study of the HDI's of Armenia, as well as those of several  other countries covers the period of 1990-2020. As stated in the Human Development Report irrespective of the fact that the indicators of Armenia's Education exceeded the world average, the existing problems in the field are one of the key constraints restraining the country's growth.

Over the past 30 years, various indicators characterizing human development have been used: gender development, women's rights and opportunities extension, equality, multidimensional poverty and etc. A new approach is being implemented  in the era of Anthropocene, i.e.  HDI is ajusted in accordance with the planetary pressures.

In the current difficult socio-economic conditions and in the presence of a high degree of uncertainty both in the domestic life and in the foreign policy of the Republic of Armenia, revealing the influence of the growth and distribution of incomes of the population on the results of economic growth (taking into consideration also the fact that the value of the national wealth in the Republic of Armenia is not calculated).

As known, the main way to increase the income of the population is the growth of the country's GDP, since the calculation of economic growth is based on the volumes of income and production.

To describe the relationship between national wealth and GDP, the authors considered the possibility of “capitalizing” GDP and established the necessary period for this. It is obvious that the shorter this period, the more efficiently the country’s economy works, the higher its reproductive potential and the potential for socio-economic development.

The article examines the current trends in the formation and distribution of incomes of the population and the state of these relations in the Republic of Armenia. One of the main issues that were in the field of view of the authors was the possibility of a more equitable distribution of GDP, so that a certain fairness of the distribution of income between the owners of labor, capital and the state's income was established. The results of the study showed that the distribution of incomes of the population in Armenia did not contribute to the creation of an atmosphere of social solidarity between different strata of society, but on the contrary. This means that the formation of incomes of different groups of the population in Armenia was unjustified and is a consequence of the unfair distribution of the country's GDP.

In the context of the above, the urgent task is to develop recommendations on the methodology for assessing national wealth, the possibilities of its application, as well as the creation of effective, efficient measures and structures for the distribution of national wealth, as well as the income of the population.

Discussions on the state capacity have become topical in recent decades due to the need to implement the functions of the state effectively, the urgency of solving the problems, which the state and society face. Different researchers and institutions offer different approaches to the determination of the degree of state capacity, using different indicators and indexes. This article discusses three of the most common approaches to assessing the level of state capacity: the Fragile States Index, the Corruption Perception Index and the Global Competitiveness Index. As a result, it became obvious that the position of the Republic of Armenia on the Fragile States Index has not changed in the period of the last 6 years, some progress has been registered in the last two years in terms of the Corruption Perceptions Index due to the political events of 2018, and the position of the Republic of Armenia in Global Competitiveness Index is weakening, especially in terms of information technology, healthcare, education, product market and innovation capacity.

Organizing of distance education in universities, in contrast to traditional education, uses not only technical, but also methodological additional functions. In particular, the control and motivational functions of management are changing, which is especially noticeable in the online education system. In addition, in the case of distance learning, a component of joint beneficiary management is used, when the emphasis is on student self-organization, and also student-oriented learning.

In modern societies, the organization’s bankruptcy process management has become more dominant aimed to improve economic growth in the framework of the legal and economic system regulations. One of the main institution of the economic development is the organization’s bankruptcy process state regulation, which is carried out through the relevant legal acts and structures that serve that process. Therefore, the effective operation of this institution would ensure the functionality of separated and related organizations and spheres, and would promote the employment of the population and the increase of its level, and would increase of the state budget revenues.

Certain types of loans are considered risky since they often cause over-indebtedness and lead consumers into a cycle of borrowing. These debt traps can result in poverty which is why government regulation is sometimes needed to address the issue. In Armenia, both poverty and debt levels are high, while the use of consumer loans is widespread. We attempt to find out whether consumer loans in Armenia carry a risk of leading to a debt trap by examining the annual percentage rates (APRs), minimum sizes and durations of consumer loans offered in Armenia and comparing those parameters to the disposable income of an average family in Armenia. We find that most families with an average income cannot pay off standard consumer loans within 1-3 months, even though banks and credit organizations claim that a significant portion of these loans are paid off within that time frame. This inconsistency may mean that consumers are rolling over their loans or paying them off using other loans, which means they have fallen into a debt trap. As a result, we have reason to suspect that debt traps exist in Armenia but further research is required to validate that claim.

The article is devoted to the examination of questions of budget process organization. The basic approaches of budgeting and the factors that influence on it are discussed in the article. The basic methods of budgeting and their advantages and disadvantages are presented in the article. The existing limitations in the budgeting process and related political and economic factors are examined as well. The basic approaches of the budget planning in the context of financial planning are explored and presented the ways of their practical use at the present stage of economic development of the Republic. The approaches on improving of the budgetary process and increasing the use of the state funds are developed.