Assessment of the impact of population living standards on the dynamics of gross regional product in the Republic of Mordovia

Abstract

The article presents a comprehensive analysis of the influence of living standards on the dynamics of gross regional product (GRP) in the Republic of Mordovia. It addresses the issue of low income levels and social inequality, substantiating the idea that these factors hinder regional economic development by reducing aggregate demand. Using indicative analysis with radar charts and zone theory, key economic security indicators were identified, including the share of the population with incomes below the subsistence minimum, the fund coefficient, the Gini index, and per capita GRP. Special attention is given to correlation-regression analysis, through which a model of per capita GRP dependence on average per capita monetary income and unemployment rate was constructed. A comparison of the impact of various factors on the region's economic activity is provided. The analysis establishes that one of the examined factors significantly influences regional development, with specific numerical parameters characterizing the relationship between factors and the response in the model. The results show that a 1-ruble increase in average per capita income boosts per capita GRP by 17.53 rubles, highlighting the critical role of income growth in stimulating regional economic development. The article highlights poverty and social inequality issues, tracing their negative impact on economic growth. Proposed measures include targeted support for low-income groups and the development of employment programs. The findings emphasize the need to improve living standards to stimulate economic activity and ensure sustainable regional development.