ANALYSIS OF MECHANISMS FOR STATE REGULATION OF INNOVATIVE DEVELOPMENT AND DIRECTIONS FOR THEIR OPTIMIZATION

This paper examines the mechanisms of state regulation in promoting innovation and development, highlighting key regulatory tools, policy frameworks, and economic incentives. We use empirical data from multiple countries to evaluate the effectiveness of these mechanisms and propose optimization strategies. Drawing on Schumpeterian and endogenous growth theories, this study emphasizes the importance of technological progress and knowledge spillovers in economic development. The role of the state is analysed in the context of market failures, the availability of public goods, and institutional economics. In addition, we focus on case studies from China and Ukraine to illustrate the practical application of these mechanisms and provide a comparative analysis of their regulatory approaches. The results of the study provide insights for improving policy efficiency and ensuring sustainable innovation growth.