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City: economic growth and social attractiveness issues

Author

Listed:
  • Elena Oleinik

    (Far Eastern Federal University, Russian Federation)

  • Alyona Zakharova

    (Far Eastern Federal University, Russian Federation)

Abstract

Background/Objectives: the city has always been seen as a place for productive forces. Therefore, it attracts investments and skilled personnel. The concentration of various enterprises on a relatively small area helps reducing costs, which, in its turn, increases the interest of the business towards product development. At the same time, city growth causes a variety of acute social problems. The article presents the main concepts of city development and considers methods of evaluating its social and economic evolution. Methods: The article defines the concept of “sustainable city development”, identifies the leading indicators of the city attractiveness and economic growth, and suggests an integrated attractiveness index of life in a city. The main steps of the analysis of the city development dynamics are considered. An econometric model is built, which reflects the dynamics of the gross municipal product, and relation is studied between the growth of the gross regional product and the leading social and economic indicators. Methods of correlation and regression analysis were used to rank the main factors of sustainable development. Findings: It is established that the most significant and decisive factor influencing the gross municipal product is not an economic but a social one with the capital investment efficiency being a minimum of three years. Applications/Improvements: To ensure the growth of the gross municipal product there should be a correlation between social and economic interests of the residents and regional enterprises, which is expressed first of all in the public socioeconomic policy. Areas of interaction between the main structural components of the city system have been identified.

Suggested Citation

  • Elena Oleinik & Alyona Zakharova, 2019. "City: economic growth and social attractiveness issues," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 7(1), pages 454-470, September.
    • Handle: RePEc:ssi:jouesi:v:7:y:2019:i:1:p:454-470
    DOI: 10.9770/jesi.2019.7.1(32)
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    References listed on IDEAS

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    1. Jessica R. P. Oliveira & Angelo M. Tusset & Dana I. Andrade & Jose M. Balthazar & Regina N. Pagani & Giane G. Lenzi, 2024. "Action Plans Study: Principles of Green Chemistry, Sustainable Development, and Smart Cities," Sustainability, MDPI, vol. 16(18), pages 1-34, September.

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    More about this item

    Keywords

    city development concept; econometric model; integral attractiveness index; convolution of indicators; sustainable development; growth of economic indicators;
    All these keywords.

    JEL classification:

    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • C01 - Mathematical and Quantitative Methods - - General - - - Econometrics

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