Improvement of the State Support of Cooperative Organizations

The aim of the research is theoretical justification of forms, methods and measures for the state support of the operation and development of cooperative organizations. Scientific methods of synthesis and analysis were used as a methodological framework. The study established the nature of the cooperatives participation in solving the problems of the market economy. This phenomenon highlighted the problems of impeding the functioning and development of cooperatives (monopolistic control of the market, inequality in the information distribution) and problems to be solved with the cooperatives participation (income inequality, production externalities, the term ‘externality’, production of public goods, the term ‘Public good’). The correspondence of forms and methods of the state support of cooperatives is stated. The forms of the state support involve legislative and legal, financial, credit and administrative forms. Methods of the state support of cooperatives include fiscal, credit and tax policy, the establishment of standard activity in the market, regulation of information provision, integration of cooperatives and authorities, government order, customs regulation. The system of the state support measures of functioning and development of cooperative organizations distributed over the modalities for its implementation is worked out. The system shows the levels of general economic, special and specialized events. The level of overall economic activities includes the development of the national economic system as a whole. The complex of special events is aimed at the development of the cooperative system and certain types of cooperatives and includes the elimination of double taxation of income of agricultural cooperatives, the limitation of antitrust regulation in the part of vertically integrated agricultural cooperatives, interest rate subsidies on loans for the development of cooperative agricultural production, development of the government order, development of cooperative organizations agreements with public authorities, the development of training centers for specialist training of in the field of cooperation. The level of special events is aimed at promoting social cooperatives activities and provides for the system of co-financing of social activities of cooperative organizations, based on subsidizing interest rates to the extent determined by the needs of economic turnover and the results achieved by social cooperatives. The research concludes, the main purpose of the implementation of a set of special measures is to stimulate the production of public goods and positive externalities through the state support for the development of co-operative forms of management. At the same time the complex of specialized activities for the state support of the functioning and development of cooperative organizations should be aimed at stimulating of social activity of cooperatives, which is manifested in the characteristics of the income distribution and the ratio of market and non-market activities.