Abstract:
In the course of the research it was established that the state plays an important role in forming the standard of living of households. The purpose of the research is to reveal the role of the state in improving the standard of living of households and to analyse the current state of the level of state support for the population. The research reveals that the socio-economic development indicators of Ukraine directly affect the standard of living of households. When analysing the level of the Human Development Index, which is one of the main indicators of the standard of living of the population, it has been established that Ukraine occupies the 85thposition in the ranking. Having compared the indicators of the leader of the ranking –Norway –with those of Ukraine, a large gap between the indicators of Norway and Ukraine was established; especially it is noticeable in the indicator “Expectation of life at birth”. When analysing the poverty rate in Ukraine, it was found that the most vulnerable groups are children aged 0–17 and pensioners, 29.1 and 31.7 respectively, i.e. every third pensioner and every third child lives in poverty. A study of the state support for households in Ukraine found that about 30 categories of citizens receive social support from the state. The number of persons receiving benefits is almost one third of the total population of Ukraine. It is therefore very important that the state supports not only the socially vulnerable population, but also stimulates the productive sector of the economy.