THEORETICAL FOUNDATIONS OF ECONOMETRIC MODELING OF REGIONAL ECONOMIC DEVELOPMENT
DOI:
https://doi.org/10.60078/3060-4842-2025-vol2-iss5-pp259-267Abstract
Ensuring sustainable and inclusive development of regional economies stands as a central challenge for contemporary economic policy and regional planning. This paper develops the theoretical foundations for econometric modeling of regional development, aiming to provide a rigorous methodological framework for quantifying growth drivers and producing reliable forecasts of regional economic performance. The primary objective is to specify and justify econometric models that capture both the long-run relationships and short-run dynamics among core regional indicators (GRDP, industrial output, retail turnover, investment inflows, employment and income levels, and institutional variables). The theoretical discussion integrates perspectives from neoclassical growth theory, endogenous growth models, institutional economics and evolutionary economics to frame the empirical strategy
Keywords:
regional development econometrics GRDP cointegration ARDL panel data policy evaluationReferences
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