THE INTERRELATION BETWEEN ECONOMIC SCIENCE AND ADMINISTRATIVE LAW: CONTEMPORARY METHODOLOGICAL CHALLENGES

Abstract

The article provides a thorough theoretical and methodological analysis of the relationship between economics and administrative law within the framework of contemporary changes in public administration. It substantiates the idea that economics and law function as interdependent social systems, with legal regulation establishing the statutory framework for economic activity and economic processes determining the focus areas and dynamics of legal institutions. This study focuses on the economic function of administrative law as a fundamental element of public policy. The purpose of this function is to regulate entrepreneurial activity, ensure fair competition, implement socio-economic programmes, and promote sustainable development. From a philosophical and legal standpoint, the article outlines the evolution of scholarly thought regarding the interrelation between law and economics. It begins by examining classical concepts of economic determinism and the idea of rational law as the foundation of the capitalist economy. It then moves on to discuss their contemporary understanding as complementary spheres of social existence. It has been demonstrated that the effectiveness of the legal system directly influences the stability of economic processes. In turn, economic dynamics necessitate the continuous renewal of the statutory framework. Considerable attention is devoted to the methodological aspects of interdisciplinary research at the intersection of law and economics. This study explores the potential application of economic analysis of law, regulatory impact assessment and cost-benefit analysis in administrative law. It substantiates the feasibility of combining the empirical methods of economic science with the axiological and normative approach of legal theory. Contemporary challenges such as globalisation, digitalisation, martial law and the strengthening of a human-centred approach underscore the need for a new paradigm of public administration based on the synthesis of legal and economic knowledge. Recommendations that are scientifically substantiated are proposed to harmonise legal and economic principles in the formulation of public policy, to improve methods for assessing the effectiveness of administrative law norms and to expand the interdisciplinary approach in both science and education. The conclusion is that a modern model of public administration cannot be formed without integrating legal and economic rationality, with law serving as a guarantor of justice and economics as an indicator of the efficiency of state activity.