Emission Reduction and Socio-Economic Indicators as Driving Factors of West Sulawesi Economic Growth

The article is devoted to the assessment of the impact of the development of manufacturing on economic growth in developing countries, in particular, the Republic of Uzbekistan. Conclusions for Uzbekistan take into account the peculiarities of the implementation of the Program for Localization of the Production of Finished Products, Components and Materials. To perform the estimates, a regression model was constructed to determine the impact of the factors of sustainable economic growth on per capita GDP (in US dollars of 2010), which indicator is used in the model as a dependent variable characterizing sustainable development. Factors of economic growth are substantiated with the use of well-known theoretical approaches and empirical data. The article presents a cross-country analysis of economic growth indicators in developing countries, which allowed to form a sufficient sample of data for estimates. The article evaluates the impact of the diversification factor on economic growth indicators, analyzes the relationship between the indicators of processing industry development and economic growth. The connection between the volatility of economic growth and the development of the processing industry is demonstrated, as well as a comparative analysis of different types of economic diversification in the developing countries selected for this study. Using correlation and regression analysis, the impact on economic growth of such factors as R&D expenditures, human capital, trade openness, the share of manufacturing in GDP, and employment in industry was analyzed in detail. Based on the author's study of the impact of these factors on economic development, the recommendations have been developed for developing countries, including Uzbekistan.

The article is devoted to the assessment of the impact of the development of manufacturing on economic growth in developing countries, in particular, the Republic of Uzbekistan. Conclusions for Uzbekistan take into account the peculiarities of the implementation of the Program for Localization of the Production of Finished Products, Components and Materials. To perform the estimates, a regression model was constructed to determine the impact of the factors of sustainable economic growth on per capita GDP (in US dollars of 2010), which indicator is used in the model as a dependent variable characterizing sustainable development. Factors of economic growth are substantiated with the use of well-known theoretical approaches and empirical data. The article presents a cross-country analysis of economic growth indicators in developing countries, which allowed to form a sufficient sample of data for estimates. The article evaluates the impact of the diversification factor on economic growth indicators, analyzes the relationship between the indicators of processing industry development and economic growth. The connection between the volatility of economic growth and the development of the processing industry is demonstrated, as well as a comparative analysis of different types of economic diversification in the developing countries selected for this study. Using correlation and regression analysis, the impact on economic growth of such factors as R&D expenditures, human capital, trade openness, the share of manufacturing in GDP, and employment in industry was analyzed in detail. Based on the author's study of the impact of these factors on economic development, the recommendations have been developed for developing countries, including Uzbekistan.

The work provides assessments of trends and factors of economic growth in modern Russia. The research was carried out on the basis of constructing econometric models using Rosstat data. Research results show that the main trends in economic development consisted of a decrease in the rate of economic growth and the rate of growth in labor productivity. The main factor of economic growth was the growth of labor productivity. There were no significant trends in changes in the growth rate of employment and the growth rate of accumulated fixed capital. The growth in labor productivity was achieved, to a large extent, due to an increase in the capital intensity of production. The basis for economic development was largely an ineffective archaic mechanism, the mechanism for the formation of an industrial economy. Employment growth had a negative impact on economic growth rates. The results obtained indicate that the most important factors of competitiveness and economic growth - human capital and new technologies - are insufficiently and ineffectively used. They did not ensure an increase in labor productivity due to investing in outdated technologies, attracting workers who do not have high qualifications, which is due to a decline in the quality of education and a reduction in the scale of scientific research and development. Education has largely lost its function of forming human capital. The research and development system does not sufficiently serve as a source of new technologies. The identified problems are obviously due to shortcomings in economic policy, shortcomings in financial management and investment processes, insufficient funding and ineffective management of the education system, research and development.

Introduction. The scientific problem under consideration is of particular relevance due to the need to assess the impact of the factors in the digital transformation of the regional economy and in the economic growth on the economic development of the regions of the Russian Federation. Based on the research conducted, the article presents an econometric assessment of the dependence of the level of the gross regional product per capita in the regions of Russia on such factors as digital labor and digital capital. Materials and Methods. The authors analyzed panel data from the Federal State Statistics Service covering 87 regions of Russia for the period from 2010 to 2018. The research methodology is based on the use of the Cobb–Douglas production function, statistical and correlation data analysis, as well as on econometric methods for studying panel data. Results. To analyze the impact of the digital transformation of the economy on the regional economic growth of the regions of Russia, various models based on panel data have been considered, such as the pooled model, fixed effects models, random effects models, as well as time-varying effects models using dummy variables. Based on statistical criteria, the best model has been chosen and conclusions have been drawn about the nature of the impact of the digital transformation indicators on the gross regional product per capita in the regions of Russia. Discussion and Conclusion. The results of econometric modeling have demonstrated that digital factors in economic growth (digital labor, digital capital), along with common factors in economic growth (labor and capital), affect the regional economic growth. According to the regional data for the period from 2010 to 2018, the time fixed effects model has proved to be the best model of the impact of the factors in economic growth and digital transformation on the economic development of the regions of the Russian Federation. The research results can be used when developing a public policy aimed at stimulating the digital transformation of the regional economy.

The purpose of the study is to assess the factors of urban economic growth in People’s Republic of China (PRC) in the framework of heterogeneous space, meaning as the regional diversity of economic systems, in the context of the current period of market reforms. The article shows that urban development is a way to achieve a sustainable rate of China’s high economic growth. The author presents the description of the model and spatial characteristics of economic growth & urbanization in China. Using numerous statistical sources, the author has revealed that the high values of China’s economic growth were observed in the conditions of high urbanization rates & low per capita income. I have estimated the factors of urban economic growth in the framework of PRC’s heterogeneous space based on the neoclassical approach. In accordance with the assessment, the author found that spatial heterogeneity has a significant impact on the differences in the ratio of the factors of economic growth in Chinese cities. The contribution of extensive factors continues to play a key role in China’s urban economic growth, with the highest proportion of capital input for coastal cities & towns, and labour input — for interior region’s urban areas. As the assessment showed, intensive factors have a visible impact on economic growth only for coastal cities & towns. The author suggests that the economic growth in China is generated mainly coastal cities & towns, and investments in the interior region’s urban areas only maintain the required employment growth for ensuring social stability. For this reason, the Russian economy needs the extension of relations with agglomerations placed in seaside regions of China as well as the development of innovative and technological joint projects.

Relevance. In contemporary economic research, the study of the diversity of factors of national economic growth is gaining more and more significance, particularly with regard to the so-called 'spatial-territorial factors'. In contrast to the existing concepts of regional and spatial economy, the approach described in this paper is based on the hypothesis that it is possible to accelerate national economic growth. It can be done by stimulating extended economic reproduction on the subnational level, that is, on the level of relatively independent and self-contained spatial and administrative units such as regions of the Russian Federation, municipalities, agglomerations, etc. Research objective. The study aims to propose a decomposition of the economic growth rates in Russia by territorial units and to describe the spatial-territorial factors of national economic growth. Data and methods. To characterize the spatial-territorial factors, we used indices of the physical volume of gross regional product (GRP) and gross value added (GVA) in types of economic activities in Russian regions in percentage to the previous year for the period of 2013-2018. The types of economic activities were specified according to the Russian Classifier of Economic Activities of 2007 (OKVED) (Statistical Classification of Economic Activities in the European Community - NACE Rev. 1.1 (2013-2016)) and OKVED-2 (NACE Rev.2 (2017-2018)). Results. We estimated the contributions of Russian regions to national economic growth by analyzing the data on the key types of economic activities in a 6-year period (2013-2018). We also identified the regions which accounted for the largest losses in economic growth, on the one hand, and those which, on the other hand, acted as drivers of the country's economic development. Conclusion. There is a small number of regions lagging in terms of GRP and their influence on the national rates of economic growth is also insignificant. The general rates of GRP decline in a region are determined, first and foremost, by the sluggish growth in those types of economic activities that have the largest share in GRP. The number and share of the regions which demonstrate extended economic reproduction, that is, deliver at least 2% growth a year, are also quite small. These regions make up slightly more than 19% of the country's GRP. The largest group of regions comprises those regions that do not go beyond the simple reproduction (their growth rates are less than 2% a year), while their share in the country's GRP exceeds 74%. The so-called ‘heavyweights’ - regions accounting for the largest share in the country's total GRP - have the strongest effect on the national rates of economic growth, hindering it. It is the economic structure of these regions that has the biggest influence on the country's performance in such types of economic activities as wholesale and retail trade and maintenance and repair of motor vehicles. Sadly, it is in these sectors that the 'heavyweights' demonstrate the largest losses in GVA. As a result, these sectors suffer the most, which is bound to be reflected in the country's overall economic growth.

Investment is an important factor of economic growth. It defines the process of expanded reprocessing. Accumulation of social capital is possible due to investments. Investments contribute to additional revenue, which is determined by the state of general economic activity. Fluctuations in output affect the dynamics of investment over the business cycles. Theory and dynamics of investments are based on the principle of a “multiplier”. The activity of investment resources as an economic factor is determined by its multiplying property. Its essence is that investment resources increase the equilibrium level of national output by an amount greater than the investment resources themselves. Modern economic growth theory was formed based on the ideas of optimality of the market system considered as a perfect self-regulating mechanism. Significant contribution to the development of economic growth theory was introduced by R. Solow. He developed two models: the model of factor analysis of economic growth sources and the model which reveals the relationship of savings, capital accumulation, investment and economic growth. Research investments as a factor of economic growth resulted in two ways out on the economic growth in Russia formulated in the article. DOI: 10.5901/mjss.2015.v6n3s7p259

PurposeThe purpose of the work consists in studying social integration as a factor of economic growth. The authors focus on experience and perspectives of developing countries, as they show the highest rate of economic growth and have high potential of its acceleration.Design/methodology/approachThe authors determine the interconnection between the processes of social integration in the four distinguished manifestations with the help of regression analysis and determine the level of homogeneity of data selections for each studied indicator with the help of variation analysis. Scenario analysis of future perspectives of the change of economic growth depending on the influence of the factor of social integration in the unity of its distinguished types is performed. Monte Carlo method is used for forecasting of change of the values of indicators of social integration.FindingsIt is substantiated that social integration is an important factor of economic growth. At the same time, the influence of this factor on economic growth of developing countries is ambiguous. Due to the offered proprietary classification of social integration according to the criterion of involved subjects, it is possible to establish that such types of social integration as integration of social groups, integration of business and society and integration of state and society have a positive influence. However, individual's integration into society has a negative influence.Originality/valueThe research contributes to development of economics by substantiating the significance of the social integration factor for economic growth and specifies the logic of management of this factor, which should be flexible. The perspectives of developing countries in acceleration of the rate of economic growth based on managing the factor of social integration are rather wide and envisage the increase of society's inclusion and the level of consumer consciousness and more active involvement of population into state management in the digital economy.

Aim. To establish the specifics of interaction between the factors of economic growth of the Murmansk Oblast and Russia as a whole using the methodological potential of production functions. Objectives. To evaluate the possibilities of building production function models for the Murmansk Oblast and Russia as a whole; to build and study adequate models of the production function type for the Murmansk Oblast and Russia as a whole. Methods. The constructed methodology is based on the verification of the initial hypothesis about the possibility of building an adequate model of the production function type for the subjects of the Russian Federation (RF) and Russia as a whole. At the first stage, the dynamics of gross regional product (GRP) and economic growth factors (investment in fixed capital, the value of fixed assets and the number of employees) were analyzed, which reflects significant differences in the behavior of these indicators for the Murmansk Oblast and Russia as a whole. Aiming to test the hypothesis about the possibility of constructing production functions for the Murmansk Oblast and Russia as a whole, Pearson correlation coefficients between GRP and production factors for 2000-2022 were calculated. Further it was supposed to construct a series of models of the production function type. The indicative production function and the Cobb-Douglas production function were considered. The best model was selected using Akaike’s information criterion adjusted for small samples. Results. It was found that for Russia as a whole the mutual behavior of the main factors of economic growth (labor and capital) fits into the generally accepted ideas: there is a significant positive relationship between GRP and factors of production. Accordingly, for Russia it becomes possible to construct classical models of GRP production in the form of production functions. The hypothesis about the possibility of building production functions for the Murmansk Oblast was not confirmed; the models were created only for Russia as a whole. Conclusions. Based on the study of a series of models in the form of the indicative production function and the Cobb-Douglas function, the growing nature of the Russian economy, elasticity parameters for the number of employed and investment in fixed capital are established. The fact of unbalanced interaction of the main factors of production in the Murmansk Oblast did not confirm the hypothesis for this region. The reasons for the imbalance should be sought in the specifics of regional production processes.

The article focuses on the level and dynamics of innovation financing in Azerbaijan and Ukraine compared to the world level and the places of Azerbaijan and Ukraine in the Global Innovation Index and trends in their positioning in the dynamics. The analysis reveals negative dynamics in both countries in this sphere. The innovation financing structure's role as a factor of economic growth and international reproductive relations development is substantiated. The dependence of the country's economic growth level (GDP growth per capita) on the value of expenditures on innovation financed by various sectors of the economy (government, the private non-profit sector, foreign investors and the higher education sector) is studied. The study consists of data for 12 European countries for 2007-2017 (limited calculations in 2017 due to the availability of information on open portals of the World Bank, the EU Statistical Office). At the first stage, the distribution of the relevant indicators was evaluated using the Shapiro-Wilk test. Based on these results the method of calculating the correlation coefficient is chosen: Pearson – for indices that are subject to the ordinary distribution law or Spearman – for indices that are not subject to the ordinary distribution law. A correlation analysis regarding the strength and nature of the relationship between relevant indices and the dynamics of GDP per capita in these countries is performed to identify the duration of time lags, after which this relationship is the most statistically significant. In the second stage, there are three types of regression models for estimating panel data to identify the impact on the economic growth dynamics of innovations financed by different economic sectors: 1) with fixed effects (based on the least-squares method); 2) with random effects (based on the general least squares method (GLS); 3) dynamic model for estimation of Arellano-Bond panel data, which considers time lags (based on the general method of moments (GMM)). In the third stage, using Wald's tests, Breusch-Pagan and Hausman, the adequate model specification is chosen. When choosing a dynamic model of Arellano-Bond, the Sargan test is performed to validate the parameters. The control variables in all three types of models consider net inflows and outflows of foreign investment, inflation (GDP deflator) and labour force participation rate (% of total population ages 15-64). The second and third stages of the study obtained the results as follows. It is empirically confirmed that a 1% increase in the share of government sector-funded R&D expenditures leads to a decrease in annual GDP growth per capita by an average of 0.15% (excluding time), business sector – to the increase by 0.13% with a time lag of 2 years, thanks to foreign sources – to the increase by 0.1% (without time lag); higher education sector – to the decrease by 0.78% (without time lag). It is substantiated that the state should reduce the share of direct investment in innovation. At the same time, it should focus on effective legislation, motivating the business sector and foreign investors to increase investment in research and development to stimulate economic growth in Azerbaijan and Ukraine and the development of international reproductive relations. Keywords business sector, correlation analysis, dynamic model, economic growth, financial regulations, financing structure, foreign sources, GERD, government sector, influence formalization, innovation, regression model, R&D.

The article discusses the problems of spatial development of the Russian Federation, analyzes the causes and trends of changes in the spatial structure of macroeconomic indicators by federal districts in the period 2008–2015 which witnessed the cyclical nature of economic development in Russia, and assesses the factors of regional growth for the period under consideration and the potential for further development of the Russian federal districts. The research focuses on the economy of the Russian federal districts in the period 2008–2015 characterized by the cyclical nature of the development of the Russian economy. On analyzing the periods of recession alone, it is almost impossible to obtain detailed information about the factors of economic growth. At the same time, analyzing merely the periods of growth does not take into account the possibilities of crises and their consequences. For a more detailed analysis, the time boundaries of the study were divided into three periods 2008–2010, 2010–2013 and 2013–2015.The work is aimed at analyzing the changes in the structures of macroeconomic indicators of the Russian Federation by federal districts in the period 2008–2015, determining the reasons and tendencies of their changes, studying the factors of regional growth in 2008–2015, and assessing the potential for further development of the regions of the Russian Federation. The research toolkit includes the methods for analyzing structural changes as well as the methods of logarithmic and proportional division. The analysis of structural changes was used both when considering GRP growth rate at constant prices and when studying the factors of growth at total labor productivity. Logarithmic division was used when dividing the yield rises by the rises of each of the factors (e.g. decomposition of GRP rises in current prices). Proportional division was used to assess the impact of regional industries on economic growth as a whole.

Abstract. The article considers the key aspects of the implementation of the principles of sustainable development in the transport industry, which is an important factor in economic growth and environmental responsibility. From the standpoint of a systemic approach, the processes of transformation of transport enterprises are investigated through the integration of ecological, social and economic principles of sustainable development. Special attention is paid to the impact of innovative technologies on the efficiency of resource use, reduction of greenhouse gas emissions, and reduction of the impact of transport on the environment. Examples of the implementation of practices of environmentally safe solutions in various segments of transport infrastructure, including road, railway, aviation and water transport, are given, special attention is paid to the analysis of the role of state policy and regulatory mechanisms in stimulating sestainization processes, in particular through the development of "green" technologies, standardization of environmental requirements for transport and encouraging enterprises to implement environmental initiatives. Issues of corporate social responsibility, which are becoming an integral part of modern transport activities, are highlighted separately. Sestainization of transport is considered as a multi-component process that covers not only the modernization of technologies, but also changes in business models aimed at ensuring long-term economic stability. Implementation of the concept of "green" logistics, development of electric mobility, improvement of energy efficiency of transport and implementation of intelligent traffic management systems are defined as the main areas of sustainable development of transport enterprises. It was concluded that sesteinization of the transport industry is not only a necessary condition for reducing the ecological load on the environment, but also an important tool for increasing the competitiveness and innovative potential of enterprises. The article emphasizes that the implementation of sustainable practices in the transport sector contributes not only to the improvement of the environmental situation, but also to the creation of new economic opportunities through the reduction of energy costs and the improvement of operational efficiency. Keywords: sustainability, sustainable development, transport industry, environmental responsibility, green technologies, energy efficiency, green logistics, corporate social responsibility, innovative technologies, transport infrastructure.

The article discusses the current problem related to the innovative development of our country’s economy under the influence of globalization. The transition to a higher level of economic development will increase the competitiveness of the Ukrainian economy as a factor of economic growth in the context of globalization. Sustainable economic growth of any state requires favorable conditions for business development and active intervention of innovative factors in economic life, which involves an increase in competitive advantages over other countries of the world. Therefore, the problem of competitiveness of Ukraine's economy is extremely relevant in the context of globalization. Key approaches to assessing the competitiveness of the national economy in the current environment are also being considered. A system of indicators of competitiveness of the national economy is being formed, as well as the factors influencing it. The article defines the essence of the concept of competitiveness of the national economy as a factor of economic growth in the context of the integration of the world economic space and the formation of a global market. Among the main methods that were used in the process of analytical research, the following should be highlighted: analysis and comparison – to determine the concept of competitiveness and the factors affecting it. Methods – for processing statistical data when assessing the analysis of factors affecting competitiveness; strategic analysis – identifying Ukraine's place in the world ranking. To strengthen and increase the competitiveness of the national economy in the context of globalization, further modernization and diversification of industry is required by transferring it to a qualitatively new level, aimed at the advanced development of high-tech processing industries, primarily in the production of finished products (production of dietary supplements and organic food) with high added value based on deep processing of raw materials; continuation of the policy of stimulating the localization of production and import substitution, primarily of consumer goods and components, expansion of inter-industry industrial cooperation; liberalization and simplification of export activities, diversification of the structure and geography of exports, expansion and mobilization of the export potential of economic sectors.

Topicality. This is based on the importance of coordinating national and regional socio-economic policy with a recognition of the need for “green” growth and an assessment of government policy measures based on the application of multi-regional modeling methodology to analyze the effects of public policy in a regional context, and on medium-term forecasting of a country's sustainable socio-economic development.Aim and tasks. The aim of the study is to improve the scientific validity of methodology for medium-term forecasting of the main parameters of a country's socio-economic development in terms of individual regions by aligning the objectives and priorities of public policy. The objective is to develop, based on a review of international literature, methodological approaches for obtaining coherent medium-term forecast estimates of major groups of territorial economic, social and environmental indicators, based on modern methodologies for measuring the targeted effects of improving living standards, “green” growth, and overall competitiveness of the national economy in its spatial dimension.
 Research results. The results of the research are based on a review of international literature and the justification for methodology to apply modern multi-regional models for the assessment of the effects of interconnected economic, social and environmental policies in the analysis of interactions between national and regional factors of sustainable economic growth, regional disparities, and strengthening of national competitiveness.
 Conclusion. Modern multi-regional models for medium-term forecasting have passed several stages of development, and have incorporated into them theories of the regional economy and the mathematical tools for socio-economic systems modeling. The most effective current policy application is in the practice of recent EU regional policy. Methodology for application of complex multi-regional models has to be flexible, with the application of complementary modeling tools, and providing for further development of model modules to describe the mutual interaction of national and regional factors of sustainable economic growth, including indicators for “green” investment. A number of specific modeling tools (special engineering simulation models, GIS-based models) are usedto assess environmental parameters of spatial development. Our research proposes to incorporate the main indicators of “green” growth into national and regional blocks of multi-regional models, starting with the simplest options such as small econometric models of partial equilibrium, into which - based on a specially conducted analysis - the most significant factors of sustainable economic growth and exogenous parameters of public policy are included. A special place is given to testing the effectiveness of “green” economy measures.

Energy is one of the indispensable factors for continuous development and economic growth. The industrial sectors consume a significant amount of energy in Malaysia. This paper is investigated and analyzed the energy use in industrial boilers fan motor, energy savings and emission reduction in Malaysia by using energy audit data. Energy savings using VSD by modulating fan speed has been estimated as well. It has been found that 68,923 MWh, 132,922 MWh, 78,769 MWh and 49,230 MWh electrical energy can be saved for 40%, 60%, 80% and 100% motor loadings, respectively for 20% speed reduction. Similarly, 139,412 MWh, 268,866, 159,328 MWh, and 99,580 MWh electrical energy can be saved for 40%, 60%, 80% and 100% motor loadings, respectively for 60% speed reduction. Along with energy savings, 69,770,744 kg, 134,558,329 kg, 79,738,065 kg, 49,836,603 kg of CO <sub xmlns:mml="http://www.w3.org/1998/Math/MathML" xmlns:xlink="http://www.w3.org/1999/xlink">2</sub> emission can be avoided for the associated energy savings as a result of energy savings using VSD for 40%, 60%, 80% and 100% motor loadings. Moreover, 32,503,558 GJ of fossil fuel can be saved for the flue gas temperature reduction as a result of reducing fan motor speed reduction. It is clear that the use of VSDs leads to substantial energy savings and an enormous reduction in emissions.