ENDOGENOUS MODELS OF ECONOMSC GROWTH AND THEIR APPLICATUON FOR THE POST-WAR RECOVERY OF UKRAINE'S ECONOMY

Abstract

The post-war recovery of Ukraine’s economy necessitates the reconsideration of growth strategies and the adaptation of theoretical approaches to new realities. This study emphasizes the importance of endogenous growth models, which interpret economic development as the outcome of internal factors such as human capital, investments, research, and innovation. The research applies methods of theoretical analysis, synthesis, and comparison of growth models to assess their applicability in the Ukrainian context. Special attention is devoted to identifying the capacity of knowledge accumulation, innovation, and competition to stimulate structural modernization under conditions of uncertainty, infrastructural destruction, and labor force migration. The results demonstrate that endogenous models offer valuable tools for understanding Ukraine’s long-term recovery prospects. The Romer model highlights the role of knowledge accumulation in technological progress, while Lucas stresses the importance of human capital formation. Jones refines the dynamics of research productivity, and Barro underlines the impact of state policy and investment. The Schumpeterian model of Aghion and Howitt, which explains growth through innovation-driven “creative destruction,” is found to be particularly relevant for Ukraine, as it reflects the need for rapid modernization and replacement of outdated industries with innovative sectors. The study further shows that the integration of certain elements from other models—such as Solow’s focus on physical capital accumulation, Lucas’s emphasis on learning-by-doing, and Barro’s insights into public investment—makes it possible to design a hybrid approach adapted to the specific challenges of post-war development. The practical value of the article lies in offering a conceptual framework for policymakers to set priorities in education, R&D, and infrastructure investment, as well as to stimulate innovation and entrepreneurship. By adapting endogenous growth models to Ukraine’s realities, the study provides tools for elaborating strategies that enhance internal growth drivers, accelerate technological renewal, and ensure sustainable post-war economic recovery.