Econometric estimation of the influence of gross domestic product on the population living standard of Ukraine

Abstract

Based on the study of gross domestic product of Ukraine in 1996-2018, the influence of this factor on the dynamics of social indicators of population living standards is calculated and analysed: the living wage and the minimum wage in dollar terms. Emphasis is placed on the need to use mathematical modelling to study social standards of living standards. The dynamics of the dollar is investigated. The dynamics of the minimum wage in dollars is analysed. The trend of the dynamics of the minimum wage in dollar equivalent for the whole studied period is presented. The dynamics of the subsistence minimum, which has the same periods and patterns as the salary, is analysed. The dynamics of the consumer price index is analysed. It has been researched that the dynamics of GDP in dollars has the same regularities as social payments. Growth in the economy (GDP) and social standards has been shown to be cyclical. The main trends of the impact of gross domestic product on the minimum wage, the consumer price index and the subsistence minimum are summarized. The dependence of the minimum wage on GDP is presented. Econometric models of the minimum wage dependence on GDP in dollar terms and the level of inflation on the minimum wage are presented. It is shown that GDP growth is accompanied by a rise in the minimum wage not only in UAH but also in dollar terms. It is emphasized that the growth of social payments has a negative impact on the growth of the consumer price index, and the economic growth rate is not sufficient to ensure the growth of social payments.

Prospects for further research. The results and development of the national financial system on a market basis, the integration of the economy into the world economy, the constant expectation of the next tranches with the IMF, the significant recession of the economy, the need for the implementation of European standards of living, one of the basic components of which is a minimum wage, require a radical change in social and necessitate further research.