MATHEMATICAL MODEL OF THE MAIN REGIONAL ECONOMIC SYSTEM DEVELOPMENT PATH ASSESSMENT

  • BUTENKO T.
Keywords: economic growth, Solow model, investment reserve, region, economic system, simulation modeling, development path.

Abstract

The article considers the possibility of applying the Solow model of
economic growth to assess the main trajectory of development of the regional
economic system. For this, the Solow model has been improved by introducing
into its mathematical interpretation the norms of net export and investment
reserve. The described model can be used to simulate the performance of the
regional economic system. Based on simulation, it is possible to establish a
correspondence between the actual development path of the regional economy
and the theoretical path which is optimal in terms of accumulation and
consumption proportion.

Published
2020-10-20