Journal of Competitiveness (Jun 2019)

Quantitative Assessment of the Compatibility of the Development of Socioeconomic Systems

  • Romualdas Ginevicius

DOI
https://doi.org/10.7441/joc.2019.02.03
Journal volume & issue
Vol. 11, no. 2
pp. 36 – 50

Abstract

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In the conditions of market economy all business entities, which can be viewed as socio-economic systems (SES), must be competitive. This also applies to the regions in the country. From the regions competitiveness depends effective solving of a whole range of social problems: jobs, social welfare, crime, migration and etc., in turn country region’s competitiveness depends on how it is adjusted its economic, social and ecological development. It’s important because it could be that some of the development components are developing at other component’s expenses. For example, economic development could be at social and ecological expenses. This would prevent the creation of the necessary living conditions not only today, but also for future generations. In order to survive, an SES must be constantly developing. During this development, both quantitative and the qualitative changes of the system parameters take place. The quantitative changes are reflected by the development dynamics, which encompass the equability and the intensity; while the qualitative changes are reflected by changes in the internal structure of the development process. For a system to be able to function in the long term, the quantitative development of its components must be mutually compatible. However, the existing measurements of SES development do not take this into account. The aim of the article is to propose and approve a methodology that would allow quantitatively evaluate the sustainability of the country regions development. For this purpose the multi-criteria evaluation methods are used. Based on the proposed methodology the sustainability of the country regions economic development is identified.

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