The specific weight in the economy is an indicator of the weight of any financial phenomenon

When conducting an economic analysis of the activities of any enterprise, specialists have to deal with a certain system of indicators. One of them is the specific weight. In the economy, this is an indicator that reflects the weight of a financial phenomenon.

General Definition

Economic indicators serve as micromodels of various phenomena in the financial activities of both the state as a whole and the business entity in particular. They are subject to various fluctuations and changes in connection with the reflection of the dynamics and contradictions of all the processes that occur, can either approach or distance themselves from their basic purpose-assessing and measuring the essence of a particular economic phenomenon. That is why the analyst should always keep in mind the goals and objectives of the conducted studies using indicators of the evaluation of various aspects of the activities of enterprises.

Among the set of economic indicators, reduced to a certain system, it is necessary to distinguish the following:

• Natural and value, which depend on the selected meters;
• Qualitative and quantitative;
• Volume and specific.

It is the latter kind of indicators that will be given special attention in this article.

Share in the economy

This is a relative and derived indicator from its voluminous counterparts. The share of production per employee, the amount of commodity stocks in days, the level of costs per one ruble of sales, etc., is also considered to be the specific weight. Also such relative indicators as structure, dynamics, fulfillment of the plan and intensity of development are also widely used.

The specific weight in the economy is the relative share of individual elements in the sum of all its components.

As an important relative indicator is considered to be the magnitude of coordination, considered as a comparison of individual structural parts of a single whole. An example is the comparison in the passive part of the balance sheet of a business entity borrowed and equity.

Thus, the share in the economy is an indicator that has some sense with its value for analysis and control. However, as for any relative indicator, it is characterized by the presence of a certain limitation. Therefore, the specific weight in the economy, the formula for calculating which is contained in any thematic textbook, should be considered in conjunction with other economic parameters. It is this approach that will allow objectively and comprehensively to conduct research on the economic activities of economic entities in a certain area.

Method of calculation

The answer to the question how to find the specific gravity in the economy depends on what kind of sphere it is necessary to consider. In any case, this is the ratio of the private indicator to the total. For example, the share of income from value added tax in total tax revenues is calculated as the ratio of VAT payments to business entities to the total amount of revenues from payment of all taxes. Similarly, the specific weight of tax revenues in the revenue side of the federal budget of the Russian Federation is calculated, only as a private indicator is directly received income from payment of taxes, and the total - the entire amount of budget revenues for a specific period (for example, a year).

unit of measurement

What is the proportion in the economy? Of course, in percent. The unit of measurement follows from the very formulation of this concept. This is a relative indicator, so it is calculated in fractions or percentages.

The value of the indicator "specific weight" in the overall assessment of the state economy

As mentioned above, the specific weight in the economy characterizes its structure in various areas of activity. For example, the industry structure shows the degree of openness of the economy of any state. The higher the proportion of such basic industries as metallurgy and energy, the lower the state's involvement in the division of labor at the international level, which characterizes the less openness of its economy as a whole.

Also, the degree of openness of the economy of any state is characterized by the share of exports in GDP (and this is also the relative figure represented by the specific gravity). It is generally accepted that for countries with an open economy, the share of exports exceeds 30% of GDP, closed economy - up to 10%.

However, the specific weight of exports in GDP is not the only indicator of the openness or closure of the economy. Other indicators are also known. An example is export or import quotas, which are calculated by finding the ratio of the cost of exports (imports) to GDP.

Summarizing the above, it should be noted that the specific weight of various indicators in the economic system is a kind of indicator of its successful functioning, according to the structure of its separate activities, conclusions can be drawn about the openness or closure of the economy. At the same time, the analysis of the structure of any economic sphere will allow to determine in a timely manner the factors that influence certain indicators.