The impact of digitalization on the economic growth of the European Union: an empirical study

Revenko, D.; Romanenkov, Yu.; Polozova, T.; Lebedchenko, V.; Molchanova, K.

Публікація:
The impact of digitalization on the economic growth of the European Union: an empirical study

dc.contributor.author	Revenko, D.
dc.contributor.author	Romanenkov, Yu.
dc.contributor.author	Polozova, T.
dc.contributor.author	Lebedchenko, V.
dc.contributor.author	Molchanova, K.
dc.date.accessioned	2024-07-05T12:08:26Z
dc.date.available	2024-07-05T12:08:26Z
dc.date.issued	2024
dc.description.abstract	The object of this study was the process of digitalization of the economy and society of the European Union. The task of researching the impact of digitalization on the economic growth of the European Union has been solved. The relevance of the chosen topic is due to the complexity of digital transformation processes taking place in the world economy and the economy of the European Union, in particular, the need to assess their directions and intensity. Four approaches to modeling the impact of digitalization on economic growth based on the neoclassical production function were proposed. The structure of the model was chosen, which makes it possible to evaluate the influence of various factors of digitalization on the key parameters of economic growth. A regression multivariate model for assessing the impact of digitalization on the economic growth of the European Union has been developed. To this end, a sequence of stages was performed: formation of the information base, grouping of digitalization factors, as well as their selection based on correlation analysis. With the help of regression analysis, the parameters of the production function were expressed through digitalization indicators. At the same time, due to the limitation of input data, the Elastic Net Regression method was used. This made it possible to ensure the quality of the new model, namely, to remove low-impact parameters, reduce the multicollinearity of factors, make the model statistically significant, and ensure the stability of coefficients to data changes. The resulting model is eleven-factor; it demonstrates a high predictive ability (the coefficient of determination is 0.987). It can be used as an analytical tool for assessing the impact of digitalization on the economic growth of the European Union. Practical use of the model will help governments and businesses make informed decisions about digital transformation policies
dc.identifier.citation	The impact of digitalization on the economic growth of the European Union: an empirical study / D. Revenko, Y. Romanenkov, T. Polozova, V. Lebedchenko, K. Molchanova // Eastern-European Journal of Enterprise Technologies, 3 (13 (129)). – P. 46–56. – DOI: https://doi.org/10.15587/1729-4061.2024.304256.
dc.identifier.doi	10.15587/1729-4061.2024.304256
dc.identifier.uri	https://openarchive.nure.ua/handle/document/27251
dc.language.iso	en
dc.subject	digital transformation
dc.subject	economic growth
dc.subject	production function
dc.subject	statistical modeling
dc.subject	European Union
dc.title	The impact of digitalization on the economic growth of the European Union: an empirical study
dc.type	Article
dspace.entity.type	Publication