Structural Shifts and their Impact on Sustainable Economic Development

Abstract

The article examines the relationship between structural shifts and the development of the national economy. Structural shifts in the national economy are one of the main factors of the state and dynamics of the country's economic system. They have a positive or negative impact and determine the effectiveness of its functioning. In this regard, the study of the relationship between structural shifts and the development of the economic system seems relevant both in theory and in practice. The purpose of the study is to use an econometric model based on the production function of variable elasticity. This is due to the fact that the model under consideration can be applied in the study of transitional processes in the main sectors of the economy of the Kyrgyz Republic. The main reasons for the transition processes are the impact on the economy of various factors leading to structural changes. The recommendations made will be quantitative rather than qualitative, i.e. they will indicate to what extent and in what proportions labor and investments should be invested in the development of a particular branch of the economy, i.e. at the macro level (industry level), and not at the micro level of the enterprise. a specific enterprise that is designed for a specific set of labor and investment resources.