Modern Approaches to Studying Economic Potential as an Economic System

• Main Author: Chelombitko Tetiana V.
• Format: Article
• Language: English
• Published: PH "INZHEK" 2020-03-01
• Series: Problemi Ekonomiki
• Subjects: potential; economic potential; economic resources; economic system; economy
• Online Access: https://www.problecon.com/export_pdf/problems-of-economy-2020-1_0-pages-227_233.pdf

The aim of the article is to generalize theoretical approaches to determining the content of the categories “potential” and “economic potential” as well as to clarify the composition of economic potential as an economic system on the basis of the provisions developed by classical economists and works of domestic and foreign scientists. The article considers four approaches to understanding the essence of economic potential: economic potential as the combined ability of sectors of the national economy and individual enterprises to carry out production; economic potential as resource availability pool; economic potential as a result of economic and production relations among business entities; equating the terms “economic potential”, “economic power” and “potential of the national economy”. The analysis of the existing approaches to understanding this category made it possible to justify the author’s definition of the concept of economic potential and outline its characteristics. The main approaches to determining the structural composition of economic potential as an economic system presented in the study include: resource approach (potential elements are divided by types of resources); functional approach (elements are grouped according to functional characteristics and types of activity); resource and functional approach (structural elements of economic potential are grouped by functions and resources). There singled out classification features of the constituent elements of economic potential, which are lower-level potentials and are characterized by a certain amount and quality of relevant economic resources, namely: labor potential, production potential, innovative potential, marketing potential, financial potential, investment potential.