investigation of advantages of outsourcing of indePendent fiscal institutions in tHe countries of PeriPHeral caPitalism

The article shows that the periphery of Ukraine's development is determined by the imperfection of state institutions, including fiscal ones. It is established that the defects of fiscal institutions are related to the fact that the process of institutional transformation in Ukraine is under the excessive influence of the oligarchic and political elite and reflects primarily its interests. This creates a deficit of effective institutions serving the entire society, and not just its privileged part. In order to find ways to overcome this situation, the work summarized the world theory and practical experience of introducing fiscal institutions in developed countries and assessed the possibilities of their adaptation to the conditions of Ukraine. As a result of the research, it is found that outsourcing has advantages over other methods of implementing independent fiscal institutions in the economy of a peripheral country. It can become one of the tools to strengthen the economic soundness and transparency of fiscal policy, its reorientation to the interests of society. This is important for overcoming the periphery and direction of the vector of economic development of Ukraine towards the center. The introduction of independent financial institutions can contribute to the development of Ukraine in the dialogue field of European integration, strengthening of Ukraine's competitiveness and economic security of the European economy.

The growth of financial losses and the public debt as a consequence of the financial crisis form the increased attention of scientists, politicians and practitioners to the problem of the stability of the financial system, the development of mechanisms, rules and institutions to ensure the effective management of public finances, including the introduction of strict fiscal rules and the creation of organs, that would monitor their compliance.Such in many countries have become independent fiscal institutions, whose role is control of the main financial indicators, to advise governments on fiscal policy.The effectiveness of such institutions in developed countries makes it interesting to study the possibilities of their implementation in the economy of peripheral countries.

the object of research and its technological audit
With the purpose of effective formation of the fiscal system in Ukraine, a study of the functioning of a system of independent fiscal institutions in different countries is made.The database of such institutions includes more than 40 independent financial institutions that have their own specific goals and peculiarities of work in different EU countries.They carry out objective and public analysis and forecasting and increase the transparency of fiscal policy.Their experience is interesting for Ukraine for the development of its own fiscal system by introducing successful experience of foreign countries.

the aim and objectives of research
The aim of the article is summary of the world theory and practice regarding the functions of fiscal institutions, assessment of the possibilities of their application to Ukraine and studying the advantages of outsourcing in comparison with other methods of implementing independent fiscal institutions in the economy of peripheral countries.
To achieve this aim, the following tasks are defined: 1.To investigate the effectiveness of existing state institutions in developing countries.
2. To analyze the experience of developed countries in the creation of independent fiscal institutions.Technology audiT and producTion reserves -№ 5/5(37), 2017 ISSN 2226-3780 3. To give recommendations on the feasibility and methods of implementing independent fiscal institutions in the economies of peripheral countries.

research of existing solutions of the problem
The work of foreign and domestic scientists are devoted to the development of theoretical foundations and concrete manifestations of the functioning of fiscal institutions is devoted, in which an analysis of the essence, functions, advantages and problems of the application of independent fiscal institutions [1,2], their role in the formation and implementation of fiscal policy [3], comparative characteristics of the effectiveness of various types of independent financial institutions in OECD countries are analyzed [4,5].A large amount of information on the activities of national independent fiscal institutions in the EU countries and an analysis of their functionality are contained in the documents of the EC [6].Substantial attention is paid to the role of fiscal rules and independent financial institutions in increasing confidence in fiscal policy [2,7], as well as exploring the possibility of outsourcing state institutions [8].However, the specifics of the transformation of the fiscal sphere in developing countries is insufficiently researched and requires in-depth studies, which makes the work relevant.

methods of research
To solve these problems, general scientific methods of scientific research are used: analysis and synthesis, logical generalization, analogies, comparative analysis, monographic and graphoanalytical methods.

research results
Due to globalization, manifested in interdependence and interpenetration of national economies, emerging global economy as the only world-system, that has its own structure and logic of construction.This structure is not characterized by homogeneity and does not lead to the alignment of quality of life and development in different countries.Otherwise -inequality is growing: when at the beginning XIX century the gap between the richest and poorest countries in terms of GDP per capita was about 2 times, so at the beginning of XX century it reached 5 times, XXI -8 times, falling slightly over the last decade (Fig. 1).
Above-mentioned statements show that world economic system is dividing in two interrelated parts, two poles -«world center» and «periphery of the world».According to the A. Frank's and I. Wallerstein's theory of world-system analysis of economic systems of the core and periphery, their level of economic development, technology, culture constantly appear on dramatically different levels.
These zones are considered as opposites: core that integrates all the advanced economic, technological and social innovations, opposed the vast periphery -medium of its propagation.
Periphery is characterized by archaic, backwardness, resource orientation.These features are at the global, regional and national levels [4].
The features of the periphery type of development are increasingly apparent and fixed in Ukraine, due to imperfection of state institutions.Particularly the share of raw materials and processing low-grade products in the total Ukraine output exceeds 70 %.
In the years that have passed since the collapse of the USSR, the share of machinery in the structure of industrial production decreased from 31 to 14 %, more than 2 times, and the proportion of the steel industry, by contrast, increased -from 11 to almost 27 %.Hightech, knowledge-intensive industries are weakly developed.This significantly limits the investment attractiveness and international competitiveness of Ukraine.International ratings show a steady deterioration or stagnation with low quality of public institutions.According to «Governance Matters», Ukraine is on the lowest ranking positions in WGI (Worldwide Governance Indicators) by indicators of the efficiency of public administration and corruption behind not only the developed countries but also from many developing countries [5,10].Such estimates could be considered as controversial, but they are strongly supported by outflow of Ukraine's human, industrial and financial capital to other countries with more favorable institutional environment.
Uncertain estimation in state institutions system has taxation institutions.On the one hand, the ranking of Doing Business indicators for fiscal environment Ukraine has risen from 183 position in 2012 up to 84 in 2017, indicating a significant positive change.However, the time spent entrepreneurs on tax compliance still remains ISSN 2226-3780 significantly higher than in Europe and Central Asia (350 hours vs. 234.3hours), and the overall tax rate (52.9 % vs. 34 9 %).Attitude survey, which is regularly held by EBA (European Business Association) shows a fall of the current situation and business expectations in the fiscal area.EBA's tax index has continuously decreased (2.58) due to the unpredictability of tax legislation, increased fiscal pressure complexities of reporting and payment of taxes, lack of confidence in the tax authorities [11].This is partly confirmed by the survey of Research&Branding Group on the quality of the investment climate -more than for a year index has gradually decreased.Lack elaborated taxes and taxation as specific state institution, the complex processes of transformation in modern conditions are inhibiting creation of necessary preconditions for sustainable and dynamic development of the economy.Serious defects of fiscal institutions connected with the fact that the process of institutional reforms in Ukraine is performed under the excessive influence of oligarchic and political elite, so society is not active subject and participant in this process, it was passed on elite institutions «outsourcing».In such circumstances, the effectiveness of institutions depends on the level on which the needs of institutional elites reflect the needs and preferences of society.Permanent conflict of interests of elite and society entails currently existing absence of efficient institutes -«public goods» that serve all of society, not just a privileged part of it.The lack of these institutions prevents economic modernization and slows economic growth [8].
Overcoming of the dependence of state institutions, primarily -fiscal, from political problems and their focus on protecting the interests of the oligarchy requires a set of countervailing measures, one of which can be implementation of the independent fiscal institutions in Ukraine.Effective cooperation of independent fiscal institutions with state agencies become instruments that increase openness and social orientation of public administration in Ukraine.This will be one of the ways to overcome the periphery direction and center-oriented economic development of Ukraine.The implementation of independent financial institutions can promote Ukraine's European integration, strengthening competitiveness and economic security of Ukraine European economy.
6.1.the independent fiscal institutions: the experience of developed countries.European Commission defines Independent Fiscal Institutions as public authorities (other than the central bank, government or parliament) that prepare macroeconomic forecasts for the budget, monitors budgetary discipline, advising the government on financial policy.These institutions are financed mainly by public funds and are functionally independent fiscal authorities [6].
Independent fiscal institutions implemented to strengthen fiscal discipline and control over the formation of the optimal tax policy for society.Their role is to oversight compliance of fiscal rules, the analysis of fiscal policy, assessing the tasks, providing recommendations on fiscal performance, implementation of macroeconomic forecasting etc.The basic principles of their activity are independence, impartiality and political neutrality, which is achieved through giving them official status in law, a clear consolidation of tasks, duties and rights, open access to information of the budget process, identifying the specific funding procedures and appointment of the staff.Due to mentioned above, independent institutions can actually influence government fiscal policy on the one hand -by encouraging researchers and practitioners to more permanent and responsible participation in the budget process, on the other hand -through direct and open dialogue with the government [12].
In Europe, independent financial institutions activated after the global financial crisis in 2008, when it became necessary to stabilize the public debt and impartial monitoring strengthening for compliance of financial discipline.During this period, independent financial institutions have been created in Canada (2008), Hungary (2008), Slovenia (2009), UK (2010) and others.Total EC's database for 2013 includes more than 40 independent financial institutions that have their own specific objectives and characteristics in different EU countries [6] (Fig. 2, 3).
Almost all independent fiscal institutions perform monitoring, advisory, evaluation, analytical and prognostic features [13]; they are designed to enhance the effect of fiscal rules, performing supervisory role in ensuring fiscal discipline.However, they do not carry out an independent fiscal policy, they have no right to take and implement independent fiscal decisions.Overall objectives of independent fiscal institutions in different countries are not the same.Among the most common are following [2]: -performance of objective macroeconomic forecast on which budget for the next period(s) will be based; Technology audiT and producTion reserves -№ 5/5(37), 2017 ISSN 2226-3780 delegation of this function to independent institutions helps to avoid budgeting on unrealistic prediction of performance (government may provide overestimated forecast to create the illusion that economic policy is more effective than it actually is); -calculation of effects of activities and projects of the government to the budget and economy; -preliminary assessment whether declared fiscal policy will achieve the established target fiscal indicators (founded deficit, public debt, income and expenditures, etc.) if approved state fiscal rules and restrictions on the existing conditions in the national and global economy would be met; -final assessment if fiscal policy have reached the targets, if fiscal rules have been complied.Especially important this feature is when fiscal rules include requirements to the budget balance on a cyclical basis or restrictions of structural component of the budget deficit.This is connected with the difficulties of obtaining undeniable assessment of structural and cyclical components of the budget balance; -analysis of long-term sustainability of fiscal policy, debt sustainability; -providing legal advice and proposals on fiscal policy (i.e. the deficit limit values or structural component of public debt, etc.) [3,12].Fiscal institutions can also evaluate not only the current government fiscal policy, but also give advices according fiscal policy for active country's political opposition and election platforms of various political forces in the part concerning fiscal policy, and make such independent assessment open for public society.
In accordance with mentioned above tasks independent fiscal institutions improve the sustainability of fiscal policy by reducing susceptibility to excessive budget deficit financing.The impact on fiscal policy is indirect, as these institutions have only advisory and supervisory nature.The action mechanism of such effects is to ensure that independent and objective assessments and recommendations on fiscal policy through its publicity for politicians create incentives for compliance and prevent prosecution of their own interests or the interests of certain groups in society (in order to save your own positive image, continue political career, etc.).Such influence on fiscal policy can be very strong when fiscal institution has considerable authority and good reputation in society and in politics.This authority is achieved over time by analyzing and making recommendations, which are primarily impartial in character regardless of which political party in power, and have proved their correctness in the past [2].
Fiscal institutions are financed mainly by public funds.There is a risk of termination of funding by the political parties that make and approve budget.Regarding this, there are thoughts about the efficiency of definition in law principles of funding approaches to their amount in the budget for each year.Another approach would be to charge the legal norms that fiscal institution funded by central bank funds.
Nowadays, in developed countries, can be heard proposals [3,12,14] about the possibility of delegating process of making decisions on fiscal policy to independent fiscal institutions(similar to the central bank, responsible for monetary policy); It is believed that such independent fiscal authority can completely replace the need for fiscal rules.
It is proposed that independent fiscal institutions could set limits on budget balance, its structural and cyclical components of public debt and government borrowing in the same period and to determine the amount of revenues and expenditures in future budget period.In addition, the government and parliament, in turn, will generate income and expenditures within the parameters set by an independent fiscal institution [13].
However, today there are no governments that have dared to delegate its powers to independent fiscal institutions, keeping them in advisory and consultative nature.In consequence, with impartial and public analysis and forecasting independent fiscal institutions increase the transparency of fiscal policy, thereby creating incentives to avoid inefficient for the society economic decisions.
6.2.implementation of independent fiscal institutions in the economy of the periphery countries.How is it possible to implement independent fiscal institutions in corrupted and inefficient public administration of periphery countries?
Institutional changes in fiscal could be made in the following ways: -Institutional design and innovation, institutional improvisation of public institutions; -Transformation, modification and upgrade of their own institutional forms of the financial system; -Transfer of working methods of existing institutions (borrowing, «transplant», imitation and outsourcing).
Outlined ways of formation of new institutions should be used to integrate fiscal policy that would allow Ukraine to extend EU rules and business standards.Forms of international integration of fiscal policy (mutual recognition of standards by governments, harmonization of standards and fiscal rules in different countries, intergovernmental coordination) correlate with the above-mentioned methods of forming new institutions (creation of new institutions, modernizing, carrying «foreign» institutions).
In the case of the introduction of independent fiscal institutions, building or modernizing institutions requires much time and very high risk of reproduction of inefficient methods of government agencies.It is also problematic to achieve real independence of the newly established institutions and confidence in them from society and from the state.
Problem of transferring institutional forms from other states got their theoretical justification in works of V. Polterovych -researcher who developed the theory of institutional «transplantation» as «the process of borrowing institutions formed in a different institutional environment» in the way from the more developed system to less developed with order to advance the institution of the later [15].Because of the lack of ownership for the products of social technologies imitation of institutional forms is free, in fact -developed countries are willing to pay the cost of «transplant» of its own institutions.It facilitates institutional similarity of economic ties, expanding market boundaries, helps to equalize the level of the center and the periphery.Here we have the phenomenon called «transfer paradox», the essence of which is to ensure that the resulting transfer of alternative social technology «donor» can win by «recipient».The system receives importing institutions that have proven effective for economic cooperation and freed from the need to find the optimal institutional structure through trials and errors.

ISSN 2226-3780
Meanwhile prerequisite «import» institutions, as opposed to the transformation of their own institutional environment is the political will to implement reforms in the importing country.In the case of «import» of independent fiscal institutions, imitation method has a high likelihood of rejection by the state system of the recipient country.A similar situation was in Hungary, where established in 2008 Fiscal Council of Hungary lasted only two years.Council illustrated the challenges faced by independent financial institutions in periphery countries, which business environment is characterized by fiscal dishonesty, high politicization and low political culture.The absence of the Fiscal Council of legally binding instruments of coercion under conditions of underdevelopment democratic society has meant that the government ignored almost all proposals from Fiscal Council, in two years, the Council disappeared [7].
In this case, an effective approach in implementing of independent financial institutions should be based on an analysis of the best practices and the development of alternatives models.Application of experience with experts from different countries and methodological professional's developments in this area are crucial for success.Therefore, a comprehensive solution to this problem can be innovative outsourcing model of fiscal institutions, designed to transform existing monitoring processes of taxation in order to increase the efficiency of the fiscal system as a whole.
Usage of outsourcing to implement independent financial institutions can play an important role in the structural optimization of the finance function of periphery states.Outsourcing of fiscal function transformation shows how existing models of outsourcing can be changed and what funds it is necessary to use for this.Regardless of the ultimate goal, transformation is a way to not only increase productivity, but also to the evolution of the financial state case.
Outsourcing of existing independent fiscal institutions has the following advantages: -Choice of institute.In the «market of institutions» there is always a wide choice of models, tested in different countries and in different conditions.It is possible to talk about «competition institutions».
-The positive «credit history» of institutions, in this case means the testing of the institution, its effectiveness, confirmed by practice.
-The possibility of a detailed analysis of the institution that represents outsourcing services, «on the spot», in the exporting country, which reduces the social cost of the application.
-Large flexibility in comparison with the «transplant» institutions in case of a sudden change in the market or political situation: it is easier and cheaper to conclude an outsourcing agreement with new institutions than rebuild them.
-Improved performance of required functions.
-The use of well-known and effective institutions is perceived as a «reputational signal» for respectable economic entities, causes the trust of the government and society, makes it difficult both to exert pressure on it and to ignore it.However, do not underestimate the risks associated with the loss of confidentiality of information, the inability to control the activities of the outsourcer, the emergence of various external effects.

sWot analysis of research results
The strength of this research is the analysis of the effectiveness of fiscal institutions from the viewpoint of world-system analysis and proposals for the implementation of independent fiscal institutions that are successfully operating in the countries of the center, in the economies of peripheral countries and the principles of outsourcing.
The weak side is that there is not enough empirical evidence for the conclusions about the effectiveness of the proposed methodology.
Opportunities for further research are borrowing the experience of foreign countries in the activities of independent fiscal institutions, studying the methods of their implementation in the economies of peripheral countries.
Threats to the results of the conducted researches are that the financial, economic and political situation in the developing countries is extremely variable, and the number of factors influencing its development is constantly growing.This significantly complicates the analysis and forecasting of the results.

conclusions
Research results: 1.The imperfection of state institutions in Ukraine is shown, which contributes to the formation and consolidation of the peripheral type of the country's development.It is justified that overcoming the dependence of state institutions, primarily fiscal ones, on political problems and their orientation to protecting the interests of the oligarchy requires a whole range of differently directed activities, one of which can be the introduction of independent financial institutions.
2. The experience of developed countries in creating independent fiscal institutions with official status fixed at the legislative level are analyzed, tasks, functions and rights, access to information on the budget process, special procedures for financing and appointing staff are clearly defined.Although fiscal institutions perform oversight and advisory functions, due to objective and public analysis and forecasting, they increase the transparency of fiscal policy, thus creating incentives to avoid economic decisions that are not optimal for society.
3. The rationale for the establishment of independent fiscal institutions in the countries of the periphery is justified, it can become an instrument, firstly, the spread of European experience in public administration, and secondly, the restriction of the activities of politicians and oligarchs to satisfy their own ambitions and their own interests in favor of the public.In Ukraine, it is advisable to outsource the independent fiscal institutions simultaneously with the introduction of fiscal rules for balancing the state budget during the business cycle.Kuzminov m.

introduction
Development of agricultural exports of developing countries has a significant impact on the conjuncture parameters of the world agricultural market, the possibility of achieving global goals of sustainable development, which relate to poverty reduction, hunger and food security and free access to energy resources (in particular biofuels), etc. Improving the fundamentals regulation of agricultural production and agricultural exports requires taking into account the differences between developed countries and developing countries.Therefore, the study of the characteristics of agricultural exports in developing countries is relevant and has a scientific and practical value.

the object of research and its technological audit
The object of research is the process of development of agricultural exports in the context of globalization.The subject of the study is an identification of the features of agricultural exports in developing countries, in

fig. 1 .
fig.1.The dynamics of the gap in terms of GDP per capita between the core and periphery regions[9]