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Environmental Sector of Business Economy: Theoretical Approaches to Assessing the Proportionality of Growth

The presented study examines the environmental sector of the business economy in the context of proportionality of economic growth. Identification of this sector calls attention to persistent disparities associated with the practical implementation of sustainable development. It is important to further develop methods for assessing the ecosystem effects of development due to the lack of environmental adaptation of the results of economic growth. Approaches to the examination of proportional growth at different levels allow us to confirm these challenges. Disparities are identified at all levels of the economic system: nano-economic, micro-economic, meso-economic, macro-economic, and mega-economic. Fundamental approaches to examination involve using the multi-factor production function, including the environmental factor of economic development. Implementation of a mechanism for managing the development of the environmental sector of the business economy involves the development of financial and non-financial instruments. Aim . The study aims to determine the mechanism of occurrence of disparities associated with the development of the environmental sector of business and to propose approaches to assessing its implementation and specific instruments that could help solve the problem of proportional development within the framework of the sustainable development concept. Tasks . To achieve the set aim, the authors analyze the development of the environmental sector of the business economy and define the features of environmental management; present financial and non-financial instruments for the management and support of environmental business and identify problems and opportunities of their successful application at all levels of the economy to improve the rate and quality of economic growth in Russia. Methods . This study uses analysis and synthesis in comparative statics and in the dynamic aspect, with allowance for historical, systems, and environmental approaches and production function modeling. Results . The authors prove that economic growth in the context of economic digitalization should be considered within the framework of carbon neutrality or environmental adaptation. Non-financial instruments are not enough for managing the development of environmental entrepreneurship. Achieving the proportionality of development would lead to the growth of environmental entrepreneurship, ensuring an inflow of investment that would multiply the country's gross domestic product (GDP); innovations related to digitalization would create conditions for sustainable economic development. Conclusions . The conducted study substantiates the need to use financial and non-financial instruments for managing the development of environmental entrepreneurship in Russia in order to eliminate the constantly emerging and existing disparities in economic growth. The main exogenous and endogenous parameters of the production function are identified with allowance for the environmental multiplier.