Developing the generalized indicator of geopolitical region development

Regional and branch economy
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Abstract:

In this study, an algorithm is proposed to calculate the general indicator (index) of the development of the geopolitical region from the point of view of the system approach. At the same time, two key components of the region's development are taken into account: the ecological favorability of the territory and the level of its financial and economic development. The indicator of ecological favorability of the territory is calculated as the Environmental Performance Index (EPI), using the proximity-to-target technique developed by the Yale University of the United States, as it collectively assesses the impact of the environment on human health and the state of the ecosystem. According to the above method, at the first stage, two groups of initial indices are formed in the structure of the EPI in such a way that the first one characterizes the influence of the environment on the state of public health, and the second – the effect of the environment on the quality (vitality) of the ecosystem. For each initial indicator, the weight is determined depending on its importance in the formation of EPI, as well as the target (optimal) value. In the following stages, the indicators are aggregated at three levels: the arithmetic mean of the weighted initial indicators for each subgroup is calculated using the above weights; the aggregated indices obtained and their weights are again used to calculate the arithmetic mean of the two main groups of indicators; The obtained values of the indicators for the two groups are summed up to obtain an index of the state of the environment (EPI). In turn, the indicator of the financial and economic development of the territory – the second component of the development of the geopolitical region – is calculated as the first main component by the Econometrical method Principle Component Analysis, with a preliminary selection of the corresponding initial quantitative metric. Then, the generalizing indicator (index) of the development of the geopolitical region was obtained on the basis of aggregation of the above-mentioned indicators of ecological favorability and financial