Assessing the Impact on Social Sector: A Macroeconomic Approach

This paper summarizes the arguments and counterarguments within the scientific discussion on the issue of the institutional quality of the social sector, its measurement, and the impact of institutional transformations on the creation of positive social results. The main purpose of the research is to present an empirical study of the relationship between the quality of social sector institutions and the parameters of social and economic development, social activity and trust, subjectively evaluated by individuals. The evaluation of macro impact (positive social results at the macrolevel) were evaluated based on three components: health, wellbeing, and political engagement. The findings showed a direct significant relationship between the quality of social institutions on the one hand and health and well-being on the other. The obtained results do not allow to substantiate enough the connection between the quality of social institutions and social confidence and involvement in political life without conducting additional research. However, the level of social confidence and the desire to participate in public and political life directly depends on the level of economic development of the country (GDP per capita).