Estimation of Measures Directed at Management of Factors of Production Inefficiency

In development of the stochastic frontier methodology we introduce a concept of achievable production potential generalizing that of the frontier production potential. A model of frontier production potential was built taking in account possibilities of management of factors of inefficiency and the related costs. An estimate of the conditional technical efficiency of production relative to the production potential was obtained. A formal description of measures, directed at management of factors of production inefficiency, and methods of estimation of their technical and economic efficiency are offered. Finally, we present the results of experimental calculations are givenproduction potential; stochastic frontier; production function; technical efficiency; achievable production potential

Estimation of the Economic Efficiency of a Shift to the Achievable Production Potential

Developing a concept of stochastic frontier we estimate the expected increase in the production volume achieved as a result of a shift to the achievable production potential. The expected economic effect of an activity of raising production efficiency is forecast. The distribution of the economic effect allowing analyzing risks related to an activity realization is givenProduction potential; stochastic frontier; production function; technical efficiency; achievable production potential

Macroeconometric modeling: modern trends, problems, an example of the econometric model of the Russian economy

This research deals with methodological problems of econometric modeling for the Russian economy of 1990–2000s with respect to modern trends in macroeconomic and econometric theory. The authors propose a two-stage procedure of modeling. At the first stage a disaggregated dynamical model is created aimed at theoretical description of the main sectors of the Russian economy: export-oriented, inner-oriented, gas, infrastructural monopolies, monetary, budget, household income and expenditure sectors. At the second stage an econometric model is proposed which includes the nonstationary cointegration type and the balance type relationships and identities. This system of equations is solved simultaneously and used for the analysis of short-term and medium-term shocks and projections.Russian economy; cointegration

Measuring the Synthetic Categories of Quality of Life in a Region and Identification of Main Trends to Improve the Social and Economic Policy (Samara Region and its Constituent Territories)

The work offers the methodology for measuring, monitoring and analyzing the main synthetic categories of quality of life on a given territory (country, region, municipal district). The work shows how the methodology was implemented to handle the data gathered in the Samara region and its constituent territories. It is also shown how the methodology can be used to identify the main trends in improving the social and economic policy of the regional executive bodies. A special section includes analytical survey of the main concepts related to quality of life and the best international approaches to measuring the quality of life.quality of life; social and economic policy; Russia

Economic Efficiency Estimation of Banks’ Activities Directed at Loans Products Advertisement

A method and results of economic efficiency estimation of advertisement activities carried out by a commercial bank are described. The main consideration is given to auto loans. The purpose of these activities is to increase consumer loans volumes. The resulted credit volumes are also estimated. The estimation method is based on the stochastic frontier methodology formulated in our previous work [Aivazian, Afanasiev (2009)]Stochastic frontier; Estimation of the economic efficiency; Advertising; Banks; Volume of crediting; Monte Carlo-modeling

About One Approach for Comparing Regions of Different Countries According to the Technical Efficiency of Innovation Space

In the work (Aivazyan, etc., 2017) it is presented a parametric description of regional innovation systems of several countries using estimates of innovative space technical efficiency obtained by the “national” models . These estimates are comparable for regions of one country, but they are not comparable for regions of different countries. We propose an approach that allows to rank the regions of different countries according to the adjusted estimates of technical efficiency, and it maintain the ratings of regions formed on the basis of “national” models. The described approach can be used in a wide class of the evaluation problems of technical efficiency and building ratings of economic entities which are operating in different institutional conditions

Indicators of Regional Development Using Differentiation Characteristics

On the example of two directions - "production of goods and services" and "welfare", it is developed a methodology for analyzing the interrelationship between various directions of regional development. The novelty of the results is determined by the fact that the direction indicators are constructed using a common basis formed using the characteristics of regional differentiation obtained from theoretically based models. The index for each direction, constructed in the basis, is maximally correlated with the index formed for the corresponding group of indicators. It is shown that for the considered two directions, the basis ensures higher consistency of the indices and ranks of the regions than the first principal components constructed for each group of the indicators separately. The advantage of the approach is that the indices for different directions based on the basis allow a general interpretation in terms of the differentiation characteristics and allow one to assess the change in the level of socio-economic development of the region when these characteristics change. The presented results confirm the significance of the influence of technical efficiency on the indices of regional development and its significance in the indicator composition for the direction of "welfare"