Transformation of the structure of Ukraine's GDP in the conditions of war

Mylashko Olha
PhD, Associate Professor, Department of Statistics and Mathematical Methods in Economics, Odesa National Economic University, Odesa, Ukraine, E-mail:mylashko@ukr.net, ORCID ID: https://orcid.org/0000-0002-7963-4318

Cite this article:

Mylashko O. (2024) Transformation of the structure of Ukraine's GDP in the conditions of war. Ed.: V.V. Kovalenko (ed.-in-ch.) and others [Transformatsiia struktury VVP Ukrainy v umovakh viiny; za red.: V.V. Kovalenko (gol. red.)], Scientific Bulletin of the Odesa National Economic University (ISSN 2313-4569), Odesa National Economics University, Odesa, No. 10 (323), pp. 14-22.

Abstract

The article analyzes the processes of changing the proportions between the components of Ukraine's GDP that occurred as a result of the war and, as a result, the use of adaptation measures by the state to ensure economic stability in extremely difficult conditions. All transformation measures affect the structure and structural shifts in the main indicator of the country's performance, the gross domestic product. The processes of changing the proportions between the elements of GDP at the stages of its production, income generation, and final use reflect the results of the complex transformations taking place in the economy. Sharp structural shifts in the elements of primary income from production activities in the first year of the war were demonstrated. Against the background of a sharp drop in gross profits of producers of market goods and services, there was a significant increase in wages of employees. Specific types of activities in which the corresponding growth occurred are highlighted, including public administration, compulsory social insurance, electricity and gas supply, health care, and social assistance. The types of activities in which the decline in gross profit was the most devastating were identified, including construction, mining and processing, transportation, agriculture, etc. Changes in the structure of GDP are analyzed in terms of elements of its final use and conclusions are drawn about a significant increase in the role of the general government sector while reducing the role of households. The author demonstrates a sharp decline in gross accumulation, especially in terms of fixed capital accumulation. Thus, it was highlighted which sectors of the economy and which types of activities were most affected by the aggression, which will help to make managerial decisions on the implementation of further adaptation measures to stimulate economic development.

Keywords

gross domestic product, structural changes, primary income, final consumer expenditures, sectors of the economy.

JEL classification: E250; O210; DOI: https://doi.org/10.32680/2409-9260-2024-10-323-14-22

UD classification: 330.3:355.01

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