Factors of sustainable development for the agricultural machinery market

Abstract

The progressive development of the economy is based on the sustainability of agriculture and agricultural machinery. It is defined in the concept of sustainable development of society. A review of the researches made it possible to identify the priority importance of production factors in ensuring the sustainable development of this industry. Analysis of methodological tools showed the significance of regression analysis based on the production function. To conduct an empirical study, the Panzar-Ross model and statistical data on the development of the agricultural machinery industry were used. Testing of the model showed the inelasticity of revenue at the prices of production factors and the presence of adaptive behavior of market participants. The results obtained on the sustainability of industrial markets for agricultural machinery can contribute to the formation of a new model of sustainable development within the industry and the drafting of state programs for the agriculture development in general to achieve the goals of sustainable economic growth.