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Serediuk V. V.

The scientific-practical Law Journal  Almanac of Law Volume 11 (2020), 213-219 p.

DOI: 10.33663/2524-017X-2020-11-38

Serediuk V. V. The role and purpose of the state in the currents of neoliberalism

The article reveals the theses of neoliberalism - a complex philosophical and scientific course, as well as social practices concerning a new understanding of the role and purpose of the state in the twentieth century. The results of the study are based on an analysis of the works of representatives of German and American neoliberalism. The strong role of the state in the economic sphere, as well as the humanitarian, social and security purpose of the state are described.

Neoliberalism was formed in the fields of economics, political science, jurisprudence, international law, philosophy as scientific fields of knowledge and embodied in the economic, social and cultural policy of Western democracies, including the reflection of its doctrinal provisions in the constitutions of European states. Therefore, neoliberalism can be defined as a set of doctrinal currents and social practices, characterized by economic, political, legal and ideological components. Representatives of neoliberalism tried to redefine the role, significance and tasks of the state according to the interwar and postwar economic and political conditions. At the same time, their ideas concerned individual rights and freedoms, the legal social order, as well as the worldview and methodological foundations on which all currents of neoliberalism were based. In August 1938, a conference of neoliberal economists, known as the Lippmann Colloquium, was held in Paris, at which a new concept of the state was essentially formulated. It consisted of the following provisions. First, the state must determine the system of rules within which economic activity is formed, and guarantee their implementation. Secondly, it was recognized at the conference that the market mechanism does not provide automatic self-regulation and balance, and therefore requires some government intervention.The third provision of the conference established that the state had to take only those measures that would ensure the support of free competition. Fourth, the restriction of monopolies was recognized. This idea underlies at the basis of antitrust laws in USA. The fifth point of neoliberalism was the limited intervention of the state in economic relations. It was allowed only temporarily and in cases when the flexibility of supply and demand was violated and the balance on the basis of the price mechanism was lost. The state should not set the price on the market, but should influence the magnitude of supply or demand, thus equalizing prices and preventing sharp fluctuations. As a result, the state in neoliberalism has a strong influence on the economic system by eliminating market monopolies, ensuring free competition, regulating excess supply and demand. Also, one of the leading roles of the state is to carry out activities that do not provide profit in the near future (humanitarian, scientific, medical, environmental spheres). Having created conditions for sustainable economic development, the state has to embody social and security tasks.

Keywords: neoliberalism, state, role, order, intervention, economy, law, peace, security, humanitarian and social tasks.

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