Innovative Development Of Country Research Articles

Diversification of export activities: essence, purpose and state in Ukraine

Introduction. Export diversification is an essential tool for accelerating economic growth in developing countries. After all, these countries' exports are concentrated on raw materials and agricultural products, which are primarily sensitive to external shocks. By diversifying their exports, countries can reduce their vulnerability to fluctuations in foreign markets, including changes in demand, prices and terms of trade. This will stabilise the country's export earnings, ensure uninterrupted financing of imports and the development of various sectors of the national economy. In addition, diversifying export activities contributes to the structural transformation of the national economy and the country's innovative development. The purpose of the paper is to reveal the essence and functional purpose of export diversification in ensuring the country's economic development. The objective will be achieved by analysing the state of diversification of Ukraine's exports of goods and studying its relationship with the country's economic development. Results. Based on the analysis of changes in Ukraine's export commodity structure, the paper shows that in 2014-2023, there was a deepening of specialisation in Ukraine's exports of raw materials, food and agricultural products. At the same time, the share of medium and highly processed goods in Ukraine's export structure has decreased significantly. These trends are confirmed by the relatively high degree of specialisation of Ukrainian exports of goods over the period considered, as calculated by the normalised Herfindahl-Hirschman index. It is noted that the deepening concentration of Ukrainian exports of raw materials, food and agricultural products has been accompanied by slow growth or decline in GDP per capita. This confirms the hypothesis that there is a correlation between the diversification of export activities and a country's economic development level. Conclusions. According to the study's results, one strategy for Ukraine's economic growth under current conditions should be to diversify export activities and develop trade in goods with a medium and high degree of processing.

ІНСТРУМЕНТИ ФІНАНСОВОГО ЗАБЕЗПЕЧЕННЯ ІННОВАЦІЙНОЇ ВІДБУДОВИ ЕКОНОМІКИ КРАЇНИ

The relevance of the study lies in the need to develop and improve effective financial instruments for the innovative reconstruction of the country's economy. In the current conditions of rapid technological changes and global competition, the effective implementation of innovations becomes a key factor in sustainable economic development. One of the main obstacles to innovation development is limited financial resources. The research is aimed at identifying effective mechanisms for attracting and allocating funding to support innovative initiatives. Investors often have limited interest in innovative projects due to their high risk. The research aims to develop mechanisms to incentivize investors to participate in innovative initiatives. Determining the optimal balance between public and private funding to support innovation, as well as developing partnership mechanisms between them, also encourages seeking solutions to these issues and developing effective financial strategies for innovation to achieve sustainable economic development in the country. The goal of the research is to study, analyze, and determine optimal financial instruments that contribute to stimulating and supporting innovative development in the economy of Ukraine. During the research, general scientific theoretical methods were used, including systemic analysis to disclose key research categories, abstract-logical method for formulating theoretical generalizations and conclusions about the essence of the synergistic effect and its assessment, and graphical method for illustrating theoretical and analytical material related to the main characteristics of the synergistic effect in innovative clusters. The research included an analysis of various instruments used to provide financial support for the innovative sector of the economy. The primary focus was on mechanisms that determine the success of the country's innovative development. The analysis allowed assessing the effectiveness of different financial instruments and their impact on economic progress. It identified mechanisms that contribute to the growth of innovative potential and those that may be less successful. Key issues and challenges facing the financial system in implementing innovative projects were also identified. Their potential impacts on overall economic development were revealed, and directions for further research were determined. The article serves as a crucial tool for increasing understanding, developing strategic approaches, and promoting innovative reconstruction of the country's economy. It can be valuable for scholars and professionals studying or working in the fields of economics, finance, and innovation, providing them with knowledge and tools for further research and professional development. Further investigation into specific financial instruments, such as grants and financing, considering the impact of the political and social environment on the effectiveness of innovative financial instruments, can enrich understanding and help contextualize decisionmaking. Analyzing the interaction between innovative financial instruments and other areas, such as education, science, and entrepreneurship, may reveal additional opportunities for creating synergy.

Comparative analysis of the role of second-tier cities in the development of European countries and Russia

ABSTRACT In this article, we discuss the role of second-tier cities in the socio-economic and innovative development of countries. A methodological approach is proposed for carrying out a comparative analysis of the contribution of second-tier and capital cities in the national settlement systems of Europe and Russia. The proposed approach was tested by analysing the contribution of second-tier cities to the demographic development of several countries. In European countries, a more homogeneous distribution of the population between capitals and second-tier cities was observed. This finding indicates a higher competitiveness of European cities in comparison, for example, with Russian cities in terms of human capital attraction and retention. In Russia, the national settlement system traditionally pivots around Moscow and St. Petersburg. On the other hand, the population dynamics of second cities in Eastern Europe is negative for most countries, thereby indicating a migration outflow of their inhabitants toward national capitals. The conducted comparison of the key economic indicators (GDP and GDP per capita) of urbanized areas in all analysed countries showed second-tier cities to be less competitive than national capitals. In this respect, European cities seem to be more successful on a national scale compared to Russian cities with a population of over one million people. The contribution of second-tier cities to innovative development is higher in Western European countries, compared to Eastern Europe, where the innovation potential is largely concentrated in capitals. In terms of this indicator, Russia occupies an intermediate position.

Study on Population-Innovation Coordination and Spatial Layout Based on the Context of Aging

As a major area for the docking and integration of China's 21st Century Maritime Silk Road, the innovation-driven development of the Bay Area city cluster can provide support for the continuous enhancement of China's economic innovation and competitiveness. Population vitality is the prerequisite and foundation of the country's innovative development, but China is facing a very serious aging situation. The process of population aging in the Guangdong-Hong Kong-Macao Greater Bay Area has also become an important factor limiting its rapid development. This study intends to analyze the aging population data and urban innovation and other related indices of the Greater Bay Area urban agglomerations through OLS, entropy method and Moran index, and use ArcGIS to visualize the trends, laws and characteristics of urban development, so as to provide scientific and reasonable data reference and support for the upper-level decision of urban planning.

INNOVATIVE DEVELOPMENT OF THE WORLD ECONOMY IN THE HUMAN DIMENSION

The article substantiates the need for human dimension of economic processes and innovation activity, defines the role of educational and scientific potentials in the innovative development of countries and the world economy as a whole, identifies the features of the correlation of indicators of educational and scientific potential with the results of innovation activity, offers recommendations for the growth of innovation activity in the Republic of Belarus based on foreign experience and the realization of its human potential.

ISSUES OF FORMING THE MECHANISM OF MOTIVATION OF INNOVATIVE ACTIVITIES OF EMPLOYEES

The article shows the need to increase the innovative activity of people working at all levels of the economic system, on the way to the country's innovative development, and substantiates the need to create a comprehensive motivation system, along with improving the wage system. The ways of creating an effective system of motivation to increase innovative activity are proposed.

БИЛИМЛАР ИҚТИСОДИЁТИНИНГ ЎЗИГА ХОС ХУСУСИЯТЛАРИ

The article highlights the specific features of the knowledge economy in the context of the country's innovative development. The conditions of the country for the introduction of the knowledge economy are identified and analyzed, such problems as ICT services are not fully implemented, and the level of their export is low. Based on the obtained scientific and practical results, scientific conclusions are formed and recommendations are developed.

Analysis of global trends in the european venture capital market

The article examines the relationship between the innovative development of the country's economy, the amount of venture funding for innovation projects, investment freedom and the tax system in the country using an empirical study of their causality and the impact of these factors on each other. The correlation is set at 0,59. An assessment of each of the factors on the level of innovative development of the country was made. Indicators for 16 European countries were taken for analysis.The most stable relationship is found between the country's innovative development and investment freedom. The correlation between innovative development and the volume of venture financing of innovative enterprises, as well as between innovations and features of tax policy in the country is somewhat smaller, but still significant. It is established that the availability of venture capital and the development of venture capital in a country will have a tax policy (special taxation, reduction of capital gains tax). It is established that the development of venture business in the country is important because it provides commitment to the innovation sector of long-term financial resources of institutional and individual investors.

АНАЛИЗ ОТРАСЛЕВЫХ ХАРАКТЕРИСТИК СТРАН И ОСОБЕННОСТЕЙ ИХ НАУЧНО-ТЕХНИЧЕСКОГО ПОТЕНЦИАЛА НА ОСНОВЕ ПАТЕНТНОЙ АКТИВНОСТИ

Country's patent activity in terms of industry affiliation depends on the existing scientific and technical potential in the country and the interest of non-residents in the creation of patents in order to use them in particular country’s production. The relevance of the study is determined by the growing interest and significance in investigating the aspects of influence between innovative activity and the parameters of the country's development. The purpose of the article is to identify the dependence of the industry orientation in the country on the characteristics of patent activity. The number of patents by industry indicates the degree of development in this industry and reveals ways to assess the economic role of the country and its competitiveness in a particular industry. The leading approach for analysis is the method of grouping according to the main parameters. This paper contains an analysis of the emphasis of the country's innovative development in terms of industry and the economic role of a particular country, as well as the role of scientific and technical preferences based on the analysis of patent activity. The article also represents the relationship between the GDP of countries, patent activity and the main competitive areas for leading economies.

THE INFLUENCE OF THE CONTENT OF INNOVATIVE INDICATORS ON THE DEVELOPMENT OF THE COUNTRY’S ECONOMY (RETROSPECTIVE ANALYSIS ON THE EXAMPLE OF UKRAINE AND POLAND)

The article is devoted to the analysis of innovative development of Ukraine and Poland. Management of innovation processes requires knowledge of the specifics of innovation in Ukraine and experience in the application of innovations in other countries, including Poland. Innovative development requires significant financial resources, regardless of the economy and the country. The scientific community uses a number of approaches to measure the level of innovation and innovative achievements. At the same time, there is no single and generally accepted method for assessing the level of innovative development of countries. The results of the generalization of scientific achievements on this issue showed that the most common methodology is the European Innovation Scoreboard, which is proposed by experts from the Research and Innovation Department of the European Commission. The aim of the article is to identify key areas for increasing the level of innovation development of the country based on the results of retrospective analysis of indicators of innovation development and competitiveness of Ukraine and Poland. Reports from the European Innovation Scoreboard and the Global Competitiveness Index were the starting point for the study. The results of the study showed that the main obstacle to innovative development in Ukraine, in contrast to Poland, is the significant loss of scientific and technological potential during the years of independence. It is determined that one of the strengths of the Ukrainian economy, which forms the potential to increase the level of its innovative development, is human resources. On the other hand, the efficiency of economic relations, the level of favorable environment for innovation, as well as financial and institutional support for innovation processes are the weakest dimensions of innovation. Low-rated indicators include innovators with product or process innovations, marketing and organizational innovations, and so on. The results of a comparative analysis of the levels of innovation development of Poland and Ukraine showed the existence of large innovation gaps between the studied countries. It is established that Poland is a leader in almost all components of innovation development. In view of this, it is expedient to study the experience of Poland in ensuring the capacity building of the country's innovative development.

Global Innovation Index (GII) 2020: Russia's place in the world of innovation

At this stage of development of the world economy, all countries, business and scientific organizations are engaged in the issue of quality monitoring of innovative development of society and the economy, inventing for this various indicators that could most comprehensively assess the level and quality of innovative development of an economic unit. Currently, the global innovation index is used to assess the level of the country's innovative development. The Global Innovation Index (GII) stimulates and supports innovation during this critical period. The Global Innovation Index is a global study and its accompanying ranking of countries in the world in terms of the level of innovation development. This article has reviewed the Global Innovation Index from 2015 to 2020 for the Russian Federation and the first 10 in the rating, based on the 2020 rating. We also analyzed the indicators that make up the main components of the global innovation index in Russia for 2020, and identified the strengths and weaknesses of 7 main components. The author proposes the main directions of development in terms of problem indicators of the global innovation index of the Russian Federation.

EVALUATION OF THE RESEARCH EFFECTIVENESS AND DEVELOPMENT IN BELARUS

The effectiveness of the country's innovative development is a derived from increasing the competitiveness of science, increasing its efficiency. In this regard, research in the field of evalu­ating the effectiveness of funding for research and development is of particular interest. The arti­cle defines the characteristic features of the effectiveness of Research and Development (R&D), identifies the problems of effectiveness evaluating of R&D, analyzes the financing of R&D in the Republic of Belarus, and assesses the effectiveness of research costs.      

Impact of the funding structure on R&D in cases of European Union and Russian Federation

Research background: Many contemporary empirical studies and theories of economic growth have revealed the dependence of innovative development of countries on the adequacy of funding for innovation. However, much of the empirical literature has discussed the issue of innovativeness without assessing the impact of the structure of funding sources on the success of the innovation process. Purpose of the article: The aim of this paper is to prove the hypothesis of the inefficiency of innovative systems in which the proportion of public investment is high compared to private investment. In Russia, the share of public R&D funding is 67%, and the EU average is 33%. Methods: Based on the empirical research, we have compared the EU Horizon 2020 program with Russian VEB Ventures programs, conversion and digitalization programs of the Industrial Development Fund and found out how the structure of funding sources for these programs affects the success of their implementation. Findings & Value added: The results of our research show that a large share of public funding is not the cause, but the result of low private innovation activity and a lack of private investment. Significant reasons for their shortage were identified: the economic feasibility of purchasing ready-made solutions on the global market instead of funding research; cheap labour; adverse business climate. Thus, a high share of public financing of innovations in a country can serve as an indicator of the existence of serious reasons for restraining innovative development.

МОДЕЛИ УПРАВЛЕНИЯ В СТРАТЕГИЯХ НАУЧНО-ТЕХНОЛОГИЧЕСКОГО РАЗВИТИЯ : РОССИЯ И МИР. (АНАЛИТИЧЕСКИЙ ОБЗОР)

The paper presents an interpretation of the development of theories that led to the formation of the science management model reflected in the Strategy of Scientific and Technological Development of Russia. The author discovers in the Strategy model the principles, which were proclaimed by W. Bush in his report 75 years ago: giving universities the role of drivers of the country innovative development, team organization and a new social contract. Moreover, the Strategy’s practice embodies the same idea of centralizing support for academic research within a single federal agency. In Russia, the Russian Science Foundation has become such an agency. At the same time, further development of management concepts is influenced by foreign trends, including the desire for convergence of sciences in the US research enterprise, the formation of the 3rd generation of innovation policy in Europe, the transition to humanistic terminology in the «Great Reset» project, etc. These trends stimulate Russia's desire to gain a foothold on the «Science Frontier» and offer an adequate response to the Great Challenges. However, to solve these problems, it is necessary to overcome the looseness of the science management structure, implement a hybrid system of public and private support for science, and ensure coordinated efforts within the framework of «bottom-up» innovation processes, with the participation of all stakeholders and with a thorough diagnosis of the strengths and problems of specific regions.

India’s Innovation Policy: Current State and Features of the Indian Model

Purpose: this article analyzes India’s innovation development model. In this regard, the author aims to examine the current state of India's innovation policy as well as its features as one of the tools for solving the socio-economic problems of the state.Methods: the author applies general scientific methods of logical analysis, comparison and generalization, as well as quantitative methods (graphical and tabular methods, and descriptive statistics). In addition, the article embraces a systematic approach that contributes to a holistic consideration of the research subject.Results: the article provides an overview of the fundamental documents and projects of the state's innovation policy, studies India’s positions in world innovation ratings as well as notes the unique features of the Indian model of innovative development associated with the government strategy adjusted to the socio-economic, cultural and civilizational features of this country.Conclusions and Relevance: the article addresses the distinguishing characteristics which have eventually become disadvantages of the existing system and touches upon the reasons that hinder the development of innovations and prevent the country from achieving tangible results in this domain. The author concludes that without systematic government support, appropriate staffing, and functioning triple helix model involving academia, industry, and government, the country's innovative development will be limited, and India will fail to address the ever-widening gap between grassroots and high-tech innovation sectors will continue to grow. Still, Russia may learn a lot from the Indian experience as it also aims at solving its “grand challenges”, including those of social and economic nature, by the means of innovations.

Historical foundations of modern educational concepts in China

The article attempts to show the interconnections and evolution of the Chinese education system, to analyze the problems that the country faces in modernizing education, which is considered as the most important factor in the country's innovative development and nation consolidation. In its search for the most effective solutions, China relies on both borrowing successful foreign models of education and at the same time striving to revive its own cultural, historical and educational traditions and concepts. In the speeches of the Chinese leaders, the development of education plays an important role in the consolidation of the whole nation for the implementation of the national strategy for achieving world leadership by 2050. To realize this “Chinese dream” requires a lot of creatively thinking personalities. At present, in China there is a real contradiction between the government’s orientation to training personnel capable of creating new technologies and the practice of learning based on the mechanical storage of knowledge. The article shows what measures are being taken to change the consciousness and thinking of the younger generations of Chinese, how the model of school and university education is changing. The analysis confirms that the attitude to education as one of the most important life and cultural values has been preserved in Chinese society. After the events in Tiananmen Square (1989), ideological control over students and teachers intensified in the country. In general, the current educational policy is pragmatic and includes both the import of knowledge and technology from abroad, and the maintenance of Maoist ideals and traditional values.

ПЕРЕДУМОВИ ТА ПЕРСПЕКТИВИ ІННОВАЦІЙНО-ІНВЕСТИЦІЙНОГО СПІВРОБІТНИЦТВА УКРАЇНИ ТА КИТАЮ

In the article, the author considers China's position as an initiator and investor of large-scale infrastructure projects and examines its position in the world innovation ratings of countries. In particular, the most large-scale infrastructure project of China in the framework of international cooperation for the development of the great silk road economic belt, which involves the formation of a common space for China and neighboring countries for their stable development, was considered. Examples of implementation of infrastructure projects in Ukraine and the effectiveness of their practical implementation are analyzed. The dynamics of direct investment concentrated in the economy of Ukraine, including China, is considered. It is concluded that despite the dominance of the global trend of slowing economic development, the innovative activity of the world's countries is also gaining momentum, which is expressed in particular in an increase in investment aimed at research and development. We have studied the pace of development and financing of innovation activities in Ukraine, including through budget financing. It is established that now China's economic policy is focused on enhancing the country's innovative development and implementing structural changes. Measures of state support in this direction should be defined as: reducing tax pressure on innovation-oriented companies; providing financial support to real economy entities; creating a favorable environment for research and development; improving legislation in the field of intellectual property protection, and so on. Comprehensive support for the development of scientific and technical clusters of the country allows us to occupy leading positions in the world. The successful experience of China in financing research and development and the dynamics of their investment in recent years are analyzed. A comparative analysis of the innovation and investment opportunities of Ukraine and China was conducted, which allowed us to conclude that there is a significant gap in the level of their innovation and investment growth and the feasibility of cooperation between the countries in the direction of leveling their territorial development. The strategic significance of implementing joint projects of innovation and investment growth in Ukraine and China is substantiated.

INVESTING IN HUMAN CAPITAL AS THE LEVEL OF ACTIVITING INNOVATIVE DEVELOPMENT

The aim of the article is to reveal the features of investing in human capital at the enterprise level as the main lever for enhancing the country's innovative development. The article substantiates the expediency of increasing the intensity of investing in human capital and proves the need to enhance innovative development. The international aspects and Ukrainian legislative initiatives to enhance innovation due to the accumulation of human capital are considered. The analysis of Ukraine's rating by the Global Competitiveness Index during 2010-2019 is carried out. The tendencies of changes in the sub-indices of human development - “health” and “skills”, the sub-index “innovative capability” are analyzed. The main sources of investing in human capital are identified and analyzed: investing at the expense of the state budget in the accumulation of human capital, investing by business entities in the development of personnel and investing by the individual and members of her family in their own professional and personal development. Concrete examples of the best practices of investing in human capital by creating separate professional development units by the largest employers in Ukraine are given. Two main economically feasible options for increasing the professional competence of employees of small and medium enterprises in Ukraine are analyzed: the use of various forms of internal mentoring and coaching; training and retraining of workers in specialized educational institutions on a paid basis. Management approaches are specified that can be implemented if there is a limitation of financial resources and the ability of an enterprise to invest in human capital. The first approach is related to the activation of the processes of investing in human capital, the second one is to freeze all programs of professional development of employees for an indefinite period. It is proved that the rationale for the appropriateness of the approach should be based on the application of an effective system of indicators and criteria for assessing the socio-economic efficiency of each of the planned investment measures.

Impact of gender aspects of sustainable entrepreneurship on country innovative development

This article generalizes arguments and counter-arguments within the scientific discussion regarding the determination of the influence of gender proxies of sustainable entrepreneurship on country's innovative development. Systematization of the scientific findings on the above-mentioned problems proves that there is a lack of empirical studies aimed at familiar issues, which, in turn, proves the necessity of further theoretical and empirical search in this sphere. Thus, it was developed a scientific and methodical approach based on the combination of correlation and panel data regression analysis in order to test the hypothesis about gender determinants' influence on a country's innovative development. In order to test this hypothesis it was developed a scientific and methodological approach that consists of several stages: 1) correlation analysis in order to eliminate multicollinearity problem between control variables; 2) analysis of dataset descriptive statistics; 3) realization of the panel data regression analysis and characteristics of its results. This research is realized within the Stata 12/SE software. The country sample consists of 9 countries (Czech Republic Estonia, Hungary, Latvia, Lithuania, Poland, Slovak Republic, Slovenia, and Ukraine). Period of observation – 2008-2018. Panel data regression analysis results help to reveal that there are no significant relationships between gender proxies of sustainable entrepreneurship and country innovative development. Specifically, it was revealed that an increase in 1 % of female labor force participation leads to 0.9 points increase of Global Innovation Index with 99 % confidence probability; an increase of GINI Index in 1 % results in an increase of Global Innovation Index in approximately 0.5 points with 90 % confidence probability, while female labor force basic education and female unemployment have no statistically significant impact on it. This leads us to the conclusion that the gender perspective of sustainable entrepreneurship should be developed in a more rapid manner in order to transform it into a vital mechanism of a country's innovative and sustainable development. Keywords: gender aspects, innovative economic growth, innovative state management, panel data analysis, sustainable entrepreneurship.

INDIVIDUAL ISSUES OF ECONOMIC SECURITY: THE STUDY OF THE IMPACT OF CHANGES IN MIGRATION PROCESSES ON COUNTRIES ECONOMIC AND INNOVATIVE DEVELOPMENT

One of the most important factors influencing the economic security of the country is the circulation of labor resources, especially given the constant growth of volumes, vectors, and forms of migration. This impact can be both positive and negative for the national welfare of an individual country and the world economy as a whole. Accordingly, the scale of the problem determines the relevance and need for research to solve the problem of economic security. The article aims to study the primary factors and areas of influence of the migration processes of highly qualified specialists on the economic and innovative development of countries. The article used analytical methods, which were shown by a graphical method of trend analysis and a descriptive approach. Also, a comparative analysis was used, a structural analysis of classification features that allow achieving the goal of studying the impact of migration on various areas of government. The applied methods will enable us to reach the set purpose. The leading indicators of the impact of migration processes on the countries of departure (donor countries) and the countries of departure (recipient countries) in terms of economic and innovation components are grouped. The analysis presents the results in qualitative and quantitative terms.