Economic Mechanisms for Enhancing the Effectiveness of Decision-Making in Employment Policy within Public Administration: Public Expenditure and Labor Market Outcomes

Abstract

Employment policy plays a central role in public administration, as labor market outcomes directly determine income distribution, social stability, and overall social welfare. Since 2017, Uzbekistan has implemented comprehensive economic and institutional reforms aimed at increasing employment, formalizing labor relations, and improving workforce productivity. This thesis analyzes the economic mechanisms through which public administration enhances the effectiveness of decision-making in employment policy, with a particular focus on public expenditures and their impact on labor market outcomes. Using a social welfare economics framework, the study evaluates how government spending on employment programs, vocational training, entrepreneurship support, and labor market institutions contributes to improved employment indicators. The thesis identifies key achievements, existing inefficiencies, and priority directions for employment policy decision-making in the coming years.