Structural changes in the economy of European countries

Authors

Keywords:

structure of national economy, types of economic activity, service industry, competitiveness of national economy.

Abstract

Background. In structure of economy of Ukraine the raw and resource-intensive industries prevail. Therefore for Ukraine the problem of structural modernization of national economy according to progressive structural shifts in economy of EU countries is actual.
A research purpose is the analysis of modern structures of economy of the EU and Ukraine and identification of tendencies in their change.
Materials and methods. During research materials of Public service of statistics of Ukraine, the Organization for Economic Cooperation and Development, the World economic forum are used. Methods of the analysis and synthesis, generalization and systematization, modeling are applied.
Results. The analysis of structure of use of resources in cumulative national accounts of Ukraine showed that reduction of a share of final consumption mainly through redistribution of the used resources for benefit of increasing export deliveries took place. Reduction of a share of intermediate consumption in Ukraine is a positive tendency which demonstrates gradual decrease in domestic economy of materials and energy intensity of production.
The economy of developed countries of the EU is characterized by such progressive changes in its structure, namely there is dematerialization of production and growth of a share of the service industry. In Ukraine the positive tendency to change of structure of economy for benefit of the service industry is also observed. But near it, the economy of Ukraine is characterized by a considerable raw material orientation with considerable share of a mining industry and the agriculture.
Conclusion. Concentration of considerable part of production and occupied in the field of services in developed countries of the EU demonstrates active forming of service economy. In Ukraine the positive tendency in growth of a share of the industries of the service industry in GDP which promotes improvement of structure of national economy is also observed.
Development of the service industry in EU countries promotes increase of their level of competitiveness. The carried-out analysis showed that critical point is growth of a share of the service industry to a limit of 75-80% then the level of competitiveness of the country can decrease considerably.

Author Biography

Yuriy BITSYURA, National Pedagogical Drahomanov University

Ph.D. in Economics, associate Professor of Department of economic theory

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Published

2016-06-24

How to Cite

[1]
BITSYURA Ю. 2016. Structural changes in the economy of European countries. Foreign trade: economics, finance, law. 86, 3 (Jun. 2016), 59–72.

Issue

Section

INTEGRATION PROCESSES IN THE WORLD MARKETS