Investment policy of the state as a tool for economic growth of the country

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The investment policy of the state is an important tool for diversifying the economy. This paper analyzes the share of capital investment in GDP, the index of fixed capital investment for 2015–2019, and assesses the investment policy determinants of the state of developed countries and emerging countries. Correlation-regression analysis methods were used to determine the relationship between real GDP, the share of industrial output in GDP, and the index of fixed capital investment in countries with economies in transformation. As a result, it was determined that in the vast majority of countries studied, the increase in investment in fixed assets contributes to the acceleration of economic growth, and the level of economic growth determines the investment potential of countries; that the heterogeneity of the impact of investment on the level of economic growth in countries with transformational economies is due to their raw material orientation, insufficient level of validity and predictability of the implemented investment policy of the state; the state’s investment policy is an important tool for ensuring macroeconomic stability and stimulating economic growth in a recession. Using the data of the panels for the period from 2015 to 2019, it is substantiated that the creation of conditions for macroeconomic balance will increase business activity of enterprises, which is the result of purposeful influence of state investment policy on economic processes by ensuring quality transformation and innovation of the national economy. The obtained results show that the level of influence of the state investment policy on the level of economic growth varies significantly depending on the level of development of financial institutions in the country and the infrastructure of the financial market.

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    • Figure 1. Dynamics of investment in fixed capital (% to previous year) on average for 2015–2019, %
    • Table 1. Share of investments in GDP of individual EU countries, %
    • Table 2. The share of investment in GDP of individual CIS countries, %
    • Table 3. Indices volume of investment in fixed capital (% to previous year)
    • Table 4. Indicators of regression statistics on the interdependence of real GDP and the investment index in fixed capital
    • Table 5. Indicators of variance analysis (regression) and correlation coefficients between real GDP and the investment index in fixed capital
    • Table 6. Indicators of regression statistics on the interdependence of the investment index in fixed capital and the share of industrial output in GDP
    • Table 7. Indicators of analysis of variance (regression) and correlation coefficients between real GDP and investment in fixed capital
    • Conceptualization
      Valentyna Makohon, Yurii Radionov, Iryna Adamenko
    • Data curation
      Valentyna Makohon
    • Funding acquisition
      Valentyna Makohon, Yurii Radionov, Iryna Adamenko
    • Methodology
      Valentyna Makohon
    • Project administration
      Valentyna Makohon
    • Resources
      Valentyna Makohon, Yurii Radionov, Iryna Adamenko
    • Supervision
      Valentyna Makohon
    • Visualization
      Valentyna Makohon
    • Writing – original draft
      Valentyna Makohon, Yurii Radionov, Iryna Adamenko
    • Formal Analysis
      Yurii Radionov, Iryna Adamenko
    • Investigation
      Yurii Radionov
    • Software
      Yurii Radionov
    • Writing – review & editing
      Yurii Radionov, Iryna Adamenko
    • Validation
      Iryna Adamenko