Why Sustainability is An Important Concept for Economic Growth?
The problems of the development of the economy and production enterprises, as well as the preservation of the sustainability of this development, are extremely complex, even panoramic, especially in the context of progressing trends and integration processes occurring all over the world. In the context of the globalization of economic processes, the competition evolves in the sectoral markets, which is both an incentive for progress and a complicating factor for the activities of individual enterprises and firms. Thus, in the context of strengthening world economic ties the ensuring the worthy position of enterprises in the modern international market is directly connected to the solution of the problem of amplification of their ability to assimilate progressive innovations in the production sphere. In this regard, the task of increasing and maintaining economic sustainability, using the opportunities created by the activation of the effects of globalization factors, becomes especially urgent. Thereby, the major role of sustainability is to ensure the economic growth, as well as to guarantee the protection of the resource base and the environment, taking into account the interests of future generations.
In the modern world, the notion of stability is the most important characteristic of any system and has great theoretical and practical significance. Sustainability as an economic category can be used in relation to the state as a whole, its industry, individual spheres, enterprises, and to any business entities. In general, the sustainability of economic growth is a state of the economics that envisages the maintaining the stability of final parameters of the development of production, social and economic indicators (Jänicke 14). Moreover, the scientists often connect this concept with the satisfaction of the outcomes of reproduction, namely the material and spiritual needs of the population (Epstein and Buhovac 20). Consequently, it is possible to define the sustainability as a system of economic relations that ensures the continued maintenance of steadiness or economic progress in conditions of optimal proportionality with minimum costs and environmental safety. In addition, it seeks to favor the complete satisfaction of demands of the country's population, as well as contributes to the prosperity of the regions.
Sustainable development of the economy in each country and a separate city along with the general laws of functioning possesses specific features determined by the conditions of production, the resource potential and the mentality of the population. During the economic growth, it is possible to observe the recovery of all components of production begins and the formation of the level of demand, predetermined by the growing standard of living (Lejano and Stokols 3). At the same time, it should be noted that the achievement of economic success has its price and certain negative consequences. In this regard, the art of obtaining sustainability consists in choosing the best priorities and the corresponding strategy for this goal.
Sustainability of the socio-economic development of the region depends on the level of self-sufficiency, self-financing and economic independence. Specifically, the level of self-sufficiency means the existence in …
