Causal-Сonsequential Links Between the Indicators of Innovation and Investment Activity of Region

Abstract

The current world-wide development of regionalism focuses on the scientific argumentation of the choice of methods and instruments for efficient management of region. During the reform of the decentralization of power in Ukraine such studies are necessary for exploration of practical application by regional authorities. The author used the the Grainger’s test to explore the existence of causal-consequential links between two groups of indicators of regional activity, both innovation and investment. According to the results of the test the division of regional indicators of these groups as to presence of a link: its direction (one-sided, inverse) and strength (strong, weak) is made. The Grainger’s test provides an opportunity to predict the interrelationship and interconnection for a period of up to three years, which can assist in shaping the region’s measures of impact on innovation and investment and managing the economy of region as a whole.

Keywords

• innovation and investment activity
• region
• Grainger’s test