Why deregulation does not work?


Deregulation in Ukraine was quite efficient at the end of 90th – at that time deregulation triggered fast increase of small and medium enterprises (SME) at the country.  At the same time, seemingly similar economic policy declared in 2010 by President Viktor Yanukovicth (and presented at the Reform program) had quite opposite effect: number of SME halved from 2010 till 2011, more than 2 mln jobs have been destroyed.  In our research we showed that this time deregulation did not work primarily due to half-baked and inconsistent policy measures of the government, which appeared to be at odds with the initial declarations.

For more details about problems of small and medium businesses development, please, see the report «Why deregulation does not work?» (ukr).

October 13, 2013