ASSESSMENT OF STRUCTURAL CHANGES IN SOCIAL AND ECONOMIC DEVELOPMENT UNDER INFLUENCE OF MILITARY CONFLICT

Abstract

The article is devoted to the consideration of losses of the national economy after the beginning of the military conflict on the territory of Ukraine. The main macroeconomic indicators for a comprehensive analysis of the state of the economy before the outbreak of hostilities (2010–2013) and after the military conflict (2014–2018) were determined, namely DP, inflation, migration, foreign trade, direct foreign investment. The study of macroeconomic indicators has determined the degree of influence of military conflict on the social and economic development of the domestic economy, in particular, the infrastructure sector. According to the analysis of the main indicators of economic activity of the country, it should be noted that almost all spheres of the national economy activity underwent changes over the period under review. The most vulnerable and dangerous were 2014–2015, when all indicators of economic activity were negative. The sharp decline of the economy, annexation of territories, migration and declining living standards all prompted urgent and deliberate actions by the state.
The study of the military conflict’s impact on the economic and social development of Ukraine highlighted that the effects of hostilities could spread to other countries. This is the reason for considering this issue in the context of world security. Another negative consequence of the military conflict is investors’ warnings and a significant reduction in investment activity in Ukraine. It is determined that the level of trust in Ukraine from other countries has decreased significantly, which is a negative factor for the development of the business sector.
It was found that along with the annexation of territories, large-scale human losses, moral deterioration and neglect of Ukraine’s independence, damage to architectural structures and massive destruction of the country’s infrastructure, information warfare, Ukraine has suffered even more significant losses such as the restructuring of a historically complex economic system. It was determined that at present Ukraine is on the way to rebuilding its economy and developing new methods of improving economic performance, and at the same time a social environment for the comfortable life of the people.