Materialization of the Methodological Approach to Forecasting and Assessing Efficiency of a System for Managing Innovation Factors of Sustainable Development of a Socially Responsible Economy Based on a Modified HDI (MHDI)

• Main Author: Bondar-Podhurskaya Oksana V.
• Format: Article
• Language: English
• Published: PH "INZHEK" 2018-12-01
• Series: Problemi Ekonomiki
• Subjects: Modified Human Development Index; assessment method; efficiency; innovation factors; people-centered development of the economy; management system; basic needs of population
• Online Access: http://www.problecon.com/export_pdf/problems-of-economy-2018-4_0-pages-43_48.pdf

The aim of the article is to improve and materialize a scientific methodological approach to assessing and forecasting efficiency of a system for managing innovation factors of sustainable development of a socially responsible economy (IFSDSRE) based on the Modified Human Development Index (MHDI). The article presents an investigation of the HDI as a controlled parameter and an integral index for assessing efficiency of a system for managing IFSDSRE in view of determining the need for its modification in order to take into account the most significant parameters of the development of innovation activities in the context of sustainable satisfaction of basic needs of the majority of population. The terms “sustainability criterion” and “sustainability margin” of a system for managing IFRSOE are implemented into the economic sphere as markers of social stability. It is noted that a negative value of the sustainability margin indicates the country’s entry into the active phase of a crisis, a long stay in which will lead to a revolutionary situation. Based on an interdisciplinary approach, morphological analysis and index adjustment method, the author improved and materialized the integral index of efficiency of the system for managing IFSDSRE — MHDI. The index is the key regulated parameter of a system for managing IFSDSRE, which, along with the indices used in the generally accepted UN’s methodology for calculating the HDI, takes into account environmental, social, economic parameters of the subsystem of the system for managing IFSDSRE, in particular, the parameter of inequality in society. Thus it improves the HDI, presents a complex assessment of its efficiency as a dynamic system based on the criteria of sustainability, optimality, efficiency and is the basis for making management decisions on the implementation of measures aimed at increasing the level of satisfaction of the basic needs of population.