Evaluation of investment activity on the basis of the mathematical model in differential equations

UDC 06.35.51
Publication date: 01.01.2018
International Journal of Professional Science №1-2018

Evaluation of investment activity on the basis of the mathematical model in differential equations

Kuchko Anna Yurievna
Phomin Vladimir Il′ich

1. Student. Samara State University of Economics
2. Holder of an Advanced Doctorate in Pedagogic Sciences, Associate Professor
Abstract: The article presents theses concerning the construction of a mathematical model of the economic indicators dynamics based on differential equations. The derivation of the main formulas is given, the calculations for constructing the function of the national income depending on the investments in the Russian economy for the period 2011-2016 are made. The relevance of the study is determined by the need to assess and justify the economic policy pursued in Russia.
Keywords: econometrics, differential equations, mathematical models in economics, investments, investment paradoxes.


  1. Introduction

Since 2017, the Government of Russia, the Central Bank, the Ministry of Finance and other government bodies, directly or indirectly influencing economic growth, began actively discussing the need to increase investment in all sectors of the economy. This situation is associated with the stimulating impact of investment on economic growth, and therefore, on general economic welfare. However, we should not forget about the need to consideration the paradoxes of investing. On the one hand, an increase in investment may lead to an investment trap related to a significant increase in the interest rate in the economy. On the other hand, the paradoxes of investing are related to the limits of growth and saturation. In this paper, we consider the rationale for the need for a measured «injection» of investment in the economy, based on mathematical models of the dynamics of economic growth in differential equations.

More info…

References

1. Ahtiamov A. M. Mathematical models of economic processes // International school-conference for students, graduate students and young scientists "Fundamental mathematics and its applications in natural science". Collection of works. Volume VII, Ufa, 2009. -140 p.
2. Bambi, M., Gozzi, F., Licandro, O., 2012b. Endogenous growth and wave-like business fluctuations. In: Barcelona GSE Working Paper no. 533.
3. Broze B. E., Varaksin V. A., Svetlichnaia V. B., Zotova S. A. Approximate methods for solving differential equations // International Student Scientific Bulletin, 2015 - p. 501-502.
4. Chikrizova E. V., Cherskaia M. A. Zotova S. A., Agisheva D. K., Svetlichnaia V. B. The apparatus of differential equations in the economy // Proceedings of the VII International Student Electronic Scientific Conference "Student Scientific Forum"
5. Malisheva L. V., Visochanskaia E. U. Modeling of economic problems using differential equations // Povolzhsky Trade and Economic Journal, 2014. - p.58-62
6. Higher mathematics for economists: a textbook for university students studying in economic specialties / [N.Sh. Kremer et al.]; Ed. prof. N.Sh. Kremer. - 3-еизд. - M.: UNITY-DANA, 2010. - 479 p.
7. Federal State Statistics Service of Russian Federation URL: http://www.gks.ru
8. S. Smale, M. W. Hirsch, R. L. Devaney. Differential Equations, Dynamical Systems, and an Introduction to Chaos. Academic Press. 2013.
9. Hippolyte d’Albis, Emmanuelle Augeraud-Véron, Hermen Jan Hupkes Multiple solutions in systems of functional differential equationsю Journal of Mathematical Economics 52 (2014) 50–56