Peculiarities of Determination and Regulation of the Subsistence Minimum in Georgia

Improving the quality of working lifes and the living standards of the population is a priority in the socio-economic policy of any country. According to the country's constitution, Georgia is a social state, which cares of the community: strengthening the principles of social justice, social equality and social solidarity; on human health and social protection, to provide a living wage and decent housing, to protect the well-being of the family. To successfully address these issues, the state will develop a targeted social policy, which, together with other important social norms, is based on a living wage. This last one should be the basis of social protection and social guarantees for the citizens of the country, was aimed at supporting the less wealthy part of the population and actually reflecting the change in the living standards of the population. Due to the urgency of the issue, in this scientific article it presented review of the economic and legal framework for determining and regulating the subsistence minimum in Georgia. Particular attention is paid to the principles of its formation, use and revision. There is analyzed the existing methodology for calculating the subsistence minimum, gaps in this area are highlighted, the necessity of its improvement is substantiated and specific measures to be taken in this direction are formulated. The paper also discusses structural analysis of the subsistence minimum, the minimum consumer basket in developed and developing countries in Georgia and abroad. It is calculated real level of the subsistence minimum, (Ratio between food and non-food basket) taking into account changes in the structure of the minimum consumer basket considering the socio-economic situation in Georgia, the consequences of the economic crisis caused by the global pandemic, and the level of economic development of the country, the features. Key words: Standard of living, subsistence minimum, minimum food basket, non-food basket, social protection, social policy. JEL Codes: I30, I31, I38