The integrated model of eco-economic system on the example of the Republic of Armenia

This article presents an integrated dynamic model of eco-economic system of the Republic of Armenia (RA). This model is constructed using system dynamics methods, which allow to consider the major feedback related to key characteristics of eco-economic system. Such model is a two-objective optimization problem where as target functions the level of air pollution and gross profit of national economy are considered.The air pollution is minimized due to modernization of stationary and mobile sources of pollution at simultaneous maximization of gross profit of national economy. At the same time considered eco-economic system ischaracterized by the presence of internal constraints that must be accounted at acceptance of strategic decisions. As a result, we proposed a systematic approach that allows forming sustainable solutions for the development of the production sector of RA while minimizing the impact on the environment. With the proposed approach, inparticular, we can form a plan for optimal enterprise modernization and predict long-term dynamics of harmful emissions into the atmosphere.