The paper attempts to elaborate principles and create conditions for the public sector and its interrelation with other institutions in the transitional economy of the Republic of Tajikistan. The author, based on an analysis of the approach of various schools of economic theory to the question of the role of the state in the transition period, argues about the diversity of influence of the public sector of the economy on the development of a transitional economy, and believes that structural transformations associated with market changes should indeed be undertaken, but such transformations should have been approached more carefully, taking into account historical or other features of each country.
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