IMPACT OF THE IT SECTOR ON THE NATIONAL ECONOMY: APPLIED ASPECT
DOI:
https://doi.org/10.15407/economyukr.2025.08.026Keywords:
IT sector; national economy; multipliers of IT sector’s impact; theAbstract
The applied aspect of studying the impact of the IT sector on the national economy is disclosed, the results of the assessment of this impact are presented. The need to find the sectors that can act as drivers of the Ukrainian economy is substantiated. Given the stability of the IT sector in the economic uncertainty of wartime and its high dynamics, it currently acts as the real engine of the Ukrainian economy.
A comparison of the Ukrainian IT sector’s share in the value added of the entire economy with similar indicators in other European countries gives grounds for positive conclusions that the difference between Ukraine and some other more developed European countries in terms of the share in value added is insignificant.
The impact of the IT sector on the economy is assessed through input-output analysis, the application of which has made it possible to determine the multiplier of the impact of changes in the value added created in the IT sector on the total value added in the Ukrainian economy. It is found that the value of the multiplier, which takes into account both direct and indirect impacts of the IT sector on other types of activity, is positive and quite high, which indicates a powerful economic effect of this sector.
Based on regression analysis, another multiplier of IT sector’s impact is determined – the multiplier of changes in value added under changes in intermediate consumption of IT sector products in other sectors of the Ukrainian economy. It is found that the growth of such consumption is accompanied by a positive and stable increase in total value added. It is substantiated that the IT sector of the Ukrainian economy makes economic growth endogenous, while acting as a so-called "creative sector".
References
Leontief, W. (1986). Input-Output Economics. 2nd ed. New York, Oxford University Press. 436 p. URL: https://liremarx.noblogs.org/files/2020/02/Wassily-Leontief-Input-Output-Economics-Oxford-University-Press-USA-1986.pdf
d’Hernoncourt, J., Cordier, M., Hadley, D. (2011). Input-Output Multipliers –– Specification sheet and supporting material. Spicosa project report. Université Libre de Bruxelles, Belgium; University of East Anglia. 25 p. URL: https://hal.science/hal-03233439/document
Mikić, H. (2012). Measuring the economic contribution of cultural industries: A review and assessment of current methodological approaches. Montreal, UNESCO Institute for Statistics. 109 p. URL: http://www.lacult.unesco.org/docc/2012_Measuring_economic_contribution_cult_ndustries_UNESCO.pdf
Zhao, B., Ding, Y. (2024). Multiplier effects of transport sectors in China's national economy: An input-output approach. Research in Transportation Business & Management. 53. 101109. https://doi.org/10.1016/j.rtbm.2024.101109
Wang, K., Lee, M.-K., Choi, J. (2018). Impact of the smart port industry on the Korean national economy using input-output analysis. Transportation Research Part A: Policy and Practice. 118. 480-493. https://doi.org/10.1016/j.tra.2018.09.017
Backinezos, C., Panagiotou, S., Vourvachaki, E. (2020). Multiplier effects by sector: An input-output analysis of the Greek economy. Economic Bulletin. 52. 7-27. https://doi.org/10.52903/econbull20205201
Keček, D., Hrustek, N., Dušak, V. (2016). Analysis of multiplier effects of ICT sectors –– a Croatian case. Croatian Operational Research Review. Vol. 7. No. 1. P. 129-145. https://doi.org/10.17535/crorr.2016.0009
Sholomytskyi, Yu., Deysan, I., Sholomytska, O., Onopriyenko, A., Shapoval, N. (2021). Assessment of the economic effects of the Great Construction program in 2020–2023. Kyiv. 56 p. URL: https://kse.ua/wp-content/uploads/2021/02/GC_roads_construction_impact_final_compressed-1.pdf [in Ukrainian].
Skrypnychenko, M. (Ed.) (2023). Development trajectories of Ukraine’s post-war economy in the coordinate system of the post-pandemic world. Kyiv. 202 p. URL: https://ief.org.ua/publication/monohrafii/2023/monohrafija-1 [in Ukrainian].
Yanenkova, I. (2024). Mechanism for ensuring digital industrialization as a factor of sustainability of nationally rooted development. Economic Theory. No. 4. P. 29-48. https://doi.org/10.15407/etet2024.04.029 [in Ukrainian].
Vatamaniuk, O. (2022). On some fundamental consequences of digitalization impact on the economy. Visnyk of the Lviv University. Series Economics. No. 63. P. 5-17. https://doi.org/10.30970/ves.2022.63.0.6301 [in Ukrainian].
Radionova, I., Akulov, O. (2023). Digital economy as a source of emergent growth. In: Business model innovation in the digital economy. Monogr. OÜ Scientific Center of Innovative Research. 208 p. P. 121-139. https://doi.org/10.36690/bm-id-eu-121-139
Romer, P. (1990). Endogenous technological change. Journal of Political Economy. Vol. 98. No. 5. Part 2: The Problem of Development: A Conference of the Institute for the Study of Free Enterprise Systems. P. S71-S102. https://doi.org/10.1086/261725
Jones, C. (1995). R&D-based models of economic growth. Journal of Political Economy. Vol. 103. No. 4. P. 759-784. https://doi.org/10.1086/262002
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2025 Publisher PH "Academperiodyka" of the NAS of Ukraine
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
