The Role of the State in the Anti-Crisis Management of the Economy In Georgia

Abstract

The government's role in pulling the country out of the crisis is critical. It has the main responsibilities in: maintaining peace in society, normal living and working conditions; fostering business growth, attracting investment, increasing productivity and exports.Proper anti-crisis management can mitigate challenges by aligning the interests of both owners and employees, the public and the state, and by sustaining the long-term balance of the economy.The source of economic development is technological progress, which should be stimulated by the state and big business with the support of broad sections of society. Technological advancement requires massive amounts of capital owned by large corporations and monopolies. Even in a free market environment, without state regulation, technological progress would be counterproductive. Research in universities should be developed and support is required for this. The fundamental values of the State should be: the rule of law, the establishment of order; the development of democracy and the protection of property rights.The short-term goal of the Georgian government's economic policy should be: to minimize the losses caused by the Covid-19 pandemic; to recover and ensure rapid economic growth.In the medium term, the ultimate objectives should be: enhancing regional and international competitiveness; facilitating truly sustainable production and exports; promoting domestic and foreign investment.It is vital to maintain the goodwill of the society and to satisfy their needs. The powers should be clearly dispersed in a crisis situation. Public interests must be granted preference over private interests. Minor injustices will lead to a socioeconomic explosion unless jobs are preserved as much as possible in order to achieve the stability of the internal climate. The public should trust and continually feel the support of government initiatives. Otherwise, fluctuations will become inevitable.