Larysa Hrytsenko

The purpose of the paper is to assess the war impact on the market value of the industrial complex enterprises of Ukraine. This is an important task for determining the investment needs to restore the Ukrainian economy, substantiating the reparations for Russia’s aggression against Ukraine, which should include the damage caused after the unleashing of a full-scale war from 24.02.2022 , and losses in the early phases of military aggression (after 22.02.2014).
The author’s method of assessing the market value is based on the CVA concept. The war impact on the enterprises market value should be manifested through changes in the effects of exploitation and financing liabilities, which show a differentiated effect from changes in the internal and external business environment of enterprises in wartime. Estimates should be based on the possibility of both negative and positive effects. The main direction of the negative influence is the financing effect, which is due to the action of the external business environment factor. The Kane-Essian argument should be considered in the estimates by calculating normalized effect sizes.
The normalized cumulative war impact equaled 165.1 billion dollars, which corresponds to 44.4% of the total market value of industrial enterprises of Ukraine, estimated for the period 2014–2022. About 14.4% of the total war impact on the market value of Ukraine’s industrial enterprises is attributed to the financing effect. Loss assessments can be used to evaluate the investment needs to restore destroyed and damaged business property. To determine the amount of compensation for damage caused by the war, the market value of an enterprise according to the CVA method can be used.

This study focuses on the relationship between the Human Development Index (HDI) and public social expenditures, analyzing socio-economic models using the examples of selected European countries and Ukraine. The study used the values of the HDI, GDP, and indicators of public expenditures for social purposes, namely, healthcare, education, leisure, culture and religion, and social protection for the period from 2010 to 2021. The analysis targeted 13 European countries using data sets from Eurostat, the Office for National Statistics of the United Kingdom, the State Statistics Service of Ukraine, and the Ministry of Finance of Ukraine. The input time series were checked for lagged values using the STATISTICA software.
Empirical evidence suggests a relationship between HDI and public social spending. An increase in the share of public social expenditures in GDP leads to an increase in HDI and vice versa. European countries with a social-democratic model of development have the highest level of centralization of public expenditure in GDP (34.72%) and the highest HDI (0.930), while countries belonging to the Southern European model have the lowest share of socially oriented public expenditure (30.41%) and the lowest HDI (0.873). In addition, there is a time lag between the investment of public funds in healthcare, education, leisure, culture and religion, and social protection and their impact on HDI changes. Thus, ensuring a high level of HDI is achieved, among other things, through state financial support for the relevant components of the social sphere and social protection.

Acknowledgment
The study is funded by the EU NextGenerationEU through the Recovery and Resilience Plan for Slovakia under project No. 09I03-03-V01-00130.