The Relevance of the Economic Growth Analysis Based on the Input-Output Tables

Abstract:

The new reality requires the search and use of a fundamentally different methodology of macroeconomic analysis that can provide systemic solutions to the problem of economic growth. The new economic reality is a set of integration processes, whose synergetic effects lead to the emergence of fundamentally different economic phenomena and factors. Its system accounting may provide a new quality of economic growth. The purpose of the study is to check the relevance of the traditional methodology for the analysis of economic growth factors in the new economic reality. The hypothesis of the research is that with the emergence of innovative factors of economic growth, traditional ones change their weight and role. We examined the possibility of using traditional methods for the analysis of economic growth factors to investigate qualitatively new economic processes. Based on the hypothesis of the study, the authors chose the V. Leontyev method of economic growth analysis on the basis of the «input-output» methodology. The scientific novelty of the study lies in the verifying of the relevance of the use of the traditional methodology for the analysis of economic growth factors based on the «input-output» method in the context of changes in the essential conditions of its growth and the emergence of new factors. The following changes were taken into account: globalization of economic processes; international integration of economic agents; the emergence of new economic centers; drift from unipolarism; global climatic changes; depletion of natural resource base around the globe; revolutionary technological innovations; digitalization of society, especially its economic component; changes in the structure of gross national product, increasing the share of industries producing services; changes in the structure of employment. We analyzed the key components of the national production of the Russian Federation and the main indicators of dynamic series according to the «input-output» tables. The obtained results indicate the development of processing industries, which objectively reflects the government’s desire to increase the production of advanced processing and reduce the production of raw materials. The revealed trend reflects the traditional approach associated with the increase of intensive factors of economic growth. It can also be noted that the analysis allows to track the growth of factors of the new economy as well as the development of retail trade and services. We have proved that the methodology of «input-output» is relevant for the analysis of economic growth factors in the new economic reality. It allows identifying trends in the evolution of factors and directions of economic growth. Further research is aimed at developing a methodology to understand how the latest factors of economic growth can ensure its sustainable growth and how traditional factors and conditions will evolve.