Abstract

Today, the concept of sustainable development is probably familiar to everyone and no one undertakes to deny the critical need for such an approach to further world development. A holistic and scientific approach to modeling regional processes is important. This investigation is aimed at identifying the main causes of pollution in the regions, and making recommendations for further policy and reforms in Ukraine. The purpose of the investigation is to study the sustainable development of the regions of Ukraine. This paper used the method of spatial-panel modeling, namely modeling the dependence of environmental pollution on capital investment, GRP, population and environmental costs, based on regional data for 2004–2020. The main task is to build a spatial-panel model of sustainable development of the regions of Ukraine, analysis of the results, providing recommendations on certain areas of sustainable development policy in Ukraine. The following research methods are used in the investigation: spatial modeling method, spatial-panel modeling method, spatial-panel modeling with fixed effects, hypothesis testing method, econometric methods. The paper analyzes the current state and probability of achieving different directions of sustainable development of the regions of Ukraine, based on the goals and objectives of sustainable development until 2030. The works of the scientists and the methods of research and modeling of regional processes used by them are considered. The mathematical apparatus of research, namely the econometric aspects of spatial modeling is analyzed. SAR and SEM models of pollution of the regions of Ukraine by the method of spatial-panel modeling are constructed taking into account GRP, population, investment, as well as the cost of preserving the environment, using the programming language R in the RStudio environment. SAR and SEM models were built, and a rather strong influence of spatial effects on the level of pollution in the regions has been revealed. Models are analyzed, the main problems are identified. Policy recommendations are provided to achieve sustainable development of the Ukrainian regions on the basis of spatial-panel modeling.

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