The Circular Economy and retail: using Deep Learning to predict business survival

Background The Circular Economy system can improve the product cycle and changes the system and mentality, both for production and the consumer and has become a significant alternative to the classic economic model. The retail sector has also started to advance along these lines. Following an analysis of the state of the art of the Circular Economy and retailing, using bibliometric techniques, our research focuses on understanding if the relationship between circularity and retailing can help us determine a business’ survivability and resilience. To this end, data pertaining to 658 commercial premises from four cities were studied over a period of 11 years. A Deep Learning technique is applied using Long Short-Term Memory to determine if there is a relationship between the resistance of the selected commercial premises, their status in previous periods of time, the type of business activity, and their classification in the Circular Economy plane. Results The system predicts, on the set of tests, with a 93.17% accuracy, the survival of a commercial premises based on the activity, and circularity information before 2012. The results of the training also show very significant precision values of the order of 94.15% with data from the post-depression period. Conclusions The results show that businesses with activities related to the Circular Economy are more likely to survive over extended periods of time.

Measuring efficiency of a recycling production system with imprecise data

<p style='text-indent:20px;'>Resources scarcity and environmental degradation have made sustainable resource utilization and environmental protection worldwide. A circular economy system considers economic production activities as closed-loop feedback cycles in which resources are used sustainably and cyclically. Improving the eco-efficiency of the circular economy system has both theoretical value and practical meaning. In this work, the efficiency measurement model of the circular economy system with imprecise data based on network data envelopment analysis is proposed. The two-level mathematical programming approach is employed for measuring the system and process efficiencies. The lower and upper bounds of the efficiencies scores are calculated by transformed conventional one-level linear programs so that the existing solution methods can be applied. The proposed method is applied to assess the circular economy system of EU countries. Our results show that most countries have large difference among fuzzy efficiencies between the production efficiency and recycling efficiency stages, which reveals the source that causes the low efficiency of the circular economy system.</p>

THE COMPLEXITY OF SOCIAL ECONOMY AS A SOCIO-ECONOMIC PHENOMENON

This paper presents the complexity of the contemporary social economy system – its definitions, points of reference, role played in socio-economic development. Furthermore the paper presents a review of selected approaches to social economy, including definitional approaches, e.g. those specific to Anglo-Saxon and continental traditions. It discusses the context in which it emerged and developed as a phenomenon in the public policy and economic areas. It analyses the dynamics of social economy development in Poland, including institutional environment and selected mechanisms of public management. It stresses that top-down initiatives – including those of the central government and the EU institutions – are a key element in making the social economy dynamic in developing the forms of activity (in view of the weakness of endogenous factors). The central and local governments place social economy at the heart of their strategies in many public policies.

THE CONCEPT OF ENVIRONMENTAL IMPACT ASSESSMENT FROM THE PERSPECTIVE OF SYSTEMATIC ANALYSIS

Environmental impact assessment as a tool to prevent the negative impact of economic objects was initiated in response to the challenges that arose in the «nature-society-economy» system (NSES). Today, the interaction of society and nature is manifested through the economy, in particular, in construction, reconstruction, technical retrofitting, expansion, redevelopment of various economic facilities, which is inevitably accompanied by changes in parameters, qualitative and quantitative characteristics of the environment. Afterwards, it could potentially cause damage to the environment. This makes environmental safety, environmental protection, rational use and reproduction of natural resources necessary. Understanding the system as interconnected components that acquire the characteristics of the whole, as opposed to a set of components, determines the need to consider the environmental consequences of the activity from the perspective of the system, which is formed on the basis of natural resource potential. Consideration of issues related to the process of economic activity, the peculiarities of the functioning of economic facilities from the standpoint of the prospects of socio-economic development of the region, country or through the prism of economic indicators was disadvantageous. Economic indicators served as a basis for the analysis of the relationship in the «society-economy» system and were assessed at the level of meeting the needs of the population through the category of demand and efficiency of the factory that provided supply. However, the environmental aspects of the factories' activities were removed from the equation, especially in the absence of legislative regulation of the decision-making processes on economic activities that may have a significant impact on the environment, taking into account governmental, public and private interests. Systematic analysis as a category is reflected and applied in science, economics, management (when making decisions based on the fundamental concept of «system»). The founder of the general theory of systems K.L.von Bertalanffy defined a «system» as a set of interacting elements that are in a certain relationship between themselves and the external environment. The interaction between the system and the external environment is realized through input and output streams, which combine nature, society and economy (production, economics). Thus, systematic analysis in the process of environmental impact assessment is a set of methods, means of implementing a systematicatic approach in the preparation and justification of decisions on the implementation of planned activities. Today, systematic analysis most fully determines the activities of authorized government authorities. EIA department employees of regional administrations analyze project materials for compliance with the requirements of the latest environmental legislation and thus ensure compliance with the commitments of the state regarding «nature» and «society». To this end, the Law of Ukraine on EIA also provides for public participation, which can influence decision-making through comments and suggestions on planned activities. To implement a systematic approach in the NSES EIA employees of regional administrations analyze project materials from the standpoint of balance of environmental and economic interests, so only on the basis of systematic analysis decisions can be made on the introduction of planned activities that will ensure the implementation of the goal of environmental impact assessment. Economic agents are less likely to implement a systematic analysis of the planned project for many reasons. This state of affairs is the result of consideration of the project by the economic agents at the level of the «economy» component outside the NSES. The project of the planned activity pursues private economical interests which can even be in a fairway of programs of regional social and economic development of the region, but at the same time neglects balance of economic and ecological interests. The latter provides for the minimization of damage to the environment, the rational use of natural resources of the territory during the implementation of planned activities, which requires consideration of the relationship between the economy and nature in the NSES. Environmental interest also includes the need to ensure a safe environment for living and health while carrying out the activities. Key words: environmental impact assessment, planned activity, system, systematic approach, systematic analysis.

Research on the National New Energy Strategy From the Perspective of Political Economics

Based on the perspective of political economics analysis, this article conducts research on the national new energy strategy as the economic situation changes differently from the past. Under the socialist market economy system with Chinese characteristics, the new energy strategy is not only an inevitable choice for China as a responsible major country, but also a key measure to promoting high-quality economic development. Through the analysis of the main dilemmas faced by China’s implementation of new energy strategy, this article proposes to design policies in terms of core technology research, innovative industry financing, cultivating professional talents, and continuous expansion of opening up, to originate a high-quality development path for China.

ACTUALIZATION OF EXTRA-ECONOMIC FACTORS OF INFORMATION SOCIETY IN NEW ECONOMY SYSTEM OF STATE, REGIONS AND ENTREPRENEURIAL STRUCTURES

The article substantiates the actualization of extra-economic factors in context of transformation processes and globalization challenges of information development of socioeconomic relations. The need to study this part of the components is also associated with the processes of modernization, regresstion of moral and spiritual qualities, loss of cultural identity and originality in achieving individual and regional goals. The formation and establishment of these factors in the information society requires new coordinaton efforts from the state regarding the effectiveness of activity of economic entities. The purpose of the article is to identify the role and particularities of the influence of extra-economic factors on the development of the Ukrainian economy and society as a whole during informatization. Methods of research are used in the work are the following: scientific generalization (when systematizing various components of extraeconomic factors); abstract-logical and theoretical generalization (when formulating conclusions); comparison (in the process of identifying the degree of influence of individual factors); concretization (when clarifying the concept of extra-economic factors); systematization, sociological analysis (when determining the rating of the importance of factors), etc. The author’s clarification of the essence of extra-economic factors, which are presented mainly as moral and spiritual, creative components connected with consciousness by eternal human values, is carried out. The object of research is the partcularities of the formation of such socio-cultural components as political aspects, trust, information, culture, mentality, religion, format of generation of Millennials, which can be decisive in achieving the goals of social transformation and can also hinder the development of these processes during informatization. The particularities of the impact of extra-economic factors on the development of socio-economic processes and phenomena are outlined, in particular: increasing profitability and reducing business depenses, intensifying innovation, increasing employment, forming value-labor orientations of workers, overcoming loss of the employees’ personal identity, modernization, cultural-spiritual and economic reproduction, opportunities for alternative employment, etc. The results of a sociological study regarding the determination of importance rating of extra-economic factors, which allowed to determine the main positions of these factors in the social and labor attitudes of domestic respondents and to outline certain social creativity in the development of socio-economic processes. Keywords: information society, new economy system, extra-economic factors, trust, state and regions, entrepreneurship, innovations. JEL Classification D83, J22, O33 Formulas: 0; fig.: 0; tabl.: 2; bibl.: 22.

Price stability - major macroeconomic objective

Price is a basic element of the market economy system and has become a leading economic category, due to its functions within it. Ensuring price stability is a major objective of the governance process, as it contributes to creating a relatively stable economic framework that allows for economic development and ensuring a sustained level of economic growth. The global economic crises, in parallel with the regional political instability, aggravated by the devastating consequences of the pandemic situation, emphasize once again the importance of the dynamics of price developments on the macroeconomic situations of contemporary states.

Dutch Disease Syndrome: The Nigeria’s Resource Trap Sickness, Easy to Catch, Harmful to the System and Difficult to Cure

This study examines the economy of Dutch disease syndrome in Nigeria from 1970 – 1985. The paper argues that the discovery of oil in 1970 opened-up windows of opportunities for the country, as a result of high inflow of petrodollar surpluses. The paradoxical effect is this, after reaching its peak period, the surpluses decline steadily and the revenue it generated when prices were high tends to cause “Dutch Disease”. The result of this study establishes the existence of resource curse in the Nigeria’s economy system. Findings of this study shows that the non-support of tradable sector, corruption, mismanagement, lack of diversification of export base and the non-oil sectors like agriculture, industries and mining, affected the country’s economic base. Thus, it was easy for Nigerians to catch the high oil prices, the decline in the oil boom transformed into a harmful poverty disease and it has now become very difficult to cure despite so many efforts. This shows that, there is a paradox of scarcity amidst plenty. This paper adopts the historical research method which relies on qualitative approach of data analysis. The paper draws conclusion to the fact that, oil discovery in Nigeria is a curse rather than a blessing.

LEGAL REGULATION OF SUPPORT TOOLS IN SOCIAL ECONOMY AND ITS INNOVATIONS IN THE PERIOD OF COVID-19 IN SLOVAK REPUBLIC

The 20ties of the 21st century are characterized by the pandemic period of COVID-19. The fall of national economies, the fears of inhabitants regarding their health, and the unfavorable economic situation of big groups of inhabitants require functional measures. Implementing social economy principles in national economies is a tool to improve the economic situation of the marginalized groups of inhabitants without using social networks. The knowledge on the social economy system and legal regulation of support tools in social economy in Slovak Republic enable the dissemination of this knowledge and potentially implement in the current pandemic COVID-19 period even in the international environment. The legal regulation of the social economy offers more support tools to solve current economic problems during the COVID-19 pandemic period. Here we present a structured overview and generalization of the knowledge of legal regulations on the social economy as well as a detailed description of the content of the support tools of the social economy during the COVID-19 period.

Economy Through Orders

Ordoliberals studied the manifestations of power through a “morphological” lens (opposing the centrally administered economy to the economy of exchange), leading Eucken to take a stand in relation to two of the great international discussions of the discipline in the interwar years: the feasibility of a socialist calculation and the debate over imperfect/monopolistic market structures. The theoretical substance of these two debates is closely related to a political quest for stability of the economic and social order. The centrally administered economy is characterized by the strong influence of what ordoliberals saw as illegitimate powers on the economic process. But ordoliberals considered that, within the exchange economy system itself, markets were not free from power relations. The contribution of Stackelberg to the analysis of unbalanced market structures is therefore indispensable for understanding the literary marginalism of the ordoliberals.