Econometric Assessment of Sustainable Development Using Commercial Organization Fixed Assets Efficiency

Abstract

© 2020. All Rights Reserved. For the sustainable socioeconomic development, due to the shortage and limitations in natural resources, considering the environmental issues such as energy, pollution, water and productive land are important. The authors have constructed a linear model of capital productivity multiple regression depending on the indicators of production activity. The authors used a sample of annual indicators from 2002 to 2018. The study of the connection revealed that there is a close inverse link between the return on capital and capital equipment, the cost of repairing fixed assets, the cost of the active part of fixed assets, and the wear and tear of fixed assets. The reliability of the results obtained was confirmed by the Fisher and Student tests, the Durbin-Watson test, and the Goldfeld-Quandt test. The results of the obtained empirical estimates confirmed the feasibility of using this approach in modeling the return on assets of a commercial enterprise in order to forecast it. Forecasting the return on capital will allow adjusting the volume of orders and improve the use of fixed assets. The authors note that the use of the forecast value will solve a wide range of economic problems aimed at improving production efficiency and increasing the competitiveness level of the enterprise.