Public-Private Partnership and Resolving the Societal Crisis Caused by the COVID-19 Pandemic

Abstract

COVID-19 triggered several crises, one of which arose in the social sphere. Societal crisis manifested itself in the growing distrust of ordinary citizens to the state, in the negative consequences for them of the forced restriction of social communication due to the lockdown, and in the understanding of the discrepancy between their own individual values and the generally accepted norms of behavior in society, specified by formal institutions. These social problems have only increased the quality of uncertainty of the post-coronavirus pandemic reality. A rise in uncertainty will lead to increased precautionary savings among households and delayed business investment. Against this background, social polarization in society, growing unemployment, poverty and impoverishment of citizens have further increased their negative attitude towards the state and society as a whole. As a result, overcoming the consequences of the societal crisis in national communities has become almost the highest priority along with the problem of epinomics. Its solution lies in the gradual restoration of partnerships between society, firms, citizens and the state. The most important place is occupied by public-private partnership in any public sector, including socially significant infrastructure projects. However, significant progress in this area is unambiguously due to serious adjustments that the state must make to formal institutions that ensure an equal partnership between the state and the business. At the same time, the specification by formal institutions of expert functions of the state and increasing the importance of private investment in the project will allow using the partnership between the state and private business as a platform for testing various forms of inclusiveness of public and private participation, aimed at restoring public confidence and societal integrity of society.