Original scientific paper

https://doi.org/10.31803/tg-20180529100246

Modeling for the analysis of the investment potential of the construction sector

Natalya Shlafman orcid.org/0000-0002-9522-8272 ; Institute for Market Problems and Economic and Environmental Studies of the National Academy of Sciences of Ukraine, 29, French Boulevard st., Odessa, 65044, Ukraine
Kateryna Frolina orcid.org/0000-0002-9427-8059 ; Odessa State Academy of Civil Engineering and Architecture, 4 Didrihsona st., Odessa, 65029, Ukraine
Lovorka Gotal Dmitrovic orcid.org/0000-0002-2651-5331 ; University North, 104. brigade 3, Varazdin, Croatia

Abstract

The purpose of the article is to develop a methodology for determining the need for the amount of investment resources needed to build the investment potential (IP) of the construction sector. The methodology is found in economic and mathematical modelling. We developed a model for the analysis of the investment potential of the construction sector (IPCS) by selecting the three-factor Cobb-Douglas production function for the IPCS study and by constructing a functional dependence from the collected statistical information, which allowed us to analyse the effect of changing the value of one of the selected factors on the resulting factor. The paper shows that market participants can use the proposed methodology to determine the factors that influence the improvement of IPCS, the degree of their influence and the determination of the values necessary to achieve a given level of investment potential.

Keywords

construction sector; investment potential; mathematical modelling; method of determining the need; three-factor production function

Hrčak ID:

210870

URI

https://hrcak.srce.hr/210870

Publication date:

4.12.2018.

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