Using the tools of economic analysis in the assessment of sustainable development

Abstract

Subject. The article considers the issues of integrated use of economic analysis tools in assessing sustainable development. Objectives. The purpose is to identify opportunities for integrated use of economic analysis tools to assess sustainable development. Methods. On the basis of systems and logical approaches, we analyze existing approaches and tools in assessing the sustainable development. Results. Currently, the fourth stage of economic analysis continues to be formed, which is aimed at assessing the sustainable development of business entities. A wide range of economic analysis tools are used, which can be divided into four approaches. Each approach has certain advantages and disadvantages, the application depends on the purpose of sustainable development analysis. The traditional approach uses a significant number of indicators characterizing various aspects of sustainable development, where the main drawback is the lack of normative values of the invariant of development. The integrated approach consists in building ratings; it carries elements of subjectivity. The use of stochastic methods and models can lead to the loss of useful information due to distortions in the dynamics of development. In the resource approach, when assessing social, managerial, and environmental sustainability, it is not always possible to determine the cost of the resource and the result. Conclusions. The developed tools of economic analysis differ in approaches to assessing sustainable development, depending on the strategic goals and objectives. In retrospect, the purpose of the analysis is to determine the balance between economic, environmental and social results of achieving sustainable development, expectations of stakeholders and resources used in each direction of sustainable development, and in the long term – to identify possibilities of achieving such a balance in the foreseeable future. However, only an integrated approach can achieve this goal, that is, to combine existing tools into a single methodology.