Page 46 - Theoretical and Practical Interpretation of Investment Attractiveness
P. 46
In mathematics, "сapacity" can refer to a multivalued function, such as an external
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measure or the Newtonian capacity .
In biology, "oxygen capacity” refers to the maximum amount of oxygen that can be
carried by the blood. "Vital capacity refers to the maximum volume of air that can be breathed
out after a deep breath in.
In ecology, "ecotourism buffer capacity refers to the ability of an ecosystem to resist
degradation and to restore itself; it includes the amount of available resources and the capacity
of the ecosystem to function again.
If we consider all the definitions above, in all cases, "сapacity" refers to the maximum
amount or volume, which can also be applied to the category of "investment capacity" in
economics. However, the economic context is different. "Market capacity refers to the volume
of goods offered for sale, securities, and services that can be purchased; it is determined by
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the volume of sales and the level of production . Investment market capacity is the annual
estimated amount of investments based on market trends for the most needed products.
"Capacity/insurance refers to the amount of insurance products that a company can
provide without causing harm. "Investment market capacity refers to the investment needs in
the current market trend for the most essential products .
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"Inventory capacity refers to the amount of goods that can be accommodated in the
buildings designated for storing goods .
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In economics, terms like "capital capacity (fund capacity)," "labor capacity," and "raw
material capacity" are widely used. The term "investment capacity" is often used to refer to
the benefits that can be obtained from investments in some articles.
Our opinion is that the term "investment capacity" should be explained more
broadly. In the course of this research, we will take steps to clarify the reasons for this.
The term "investment capacity" is used in a wide range of contexts in economics,
countries, regions, markets, sectors, programs, and companies. In analyzing the content
of the category "investment capacity" (unfortunately, in small quantities), we mainly
identified the existence of three directions.
In the first explanation, "investment potential" and "investment capacity" are
considered to be the same. However, in articles in the "Expert" magazine, these two terms are
not distinguished: "Investment potential (investment capacity of regions) is the objective basis
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of the number, similarity, and economic viability of investment objects ."
49 The same source
50 Raizberg B.A., Lozovsky L.Sh., Starodubtseva E.B. Modern Economic Dictionary. – M.: INFRA-M, 2008. – 480
51 Dictionary of Economics and Finance. Glossary.ru. http://slovari/yandex/ru/dict/glossary
52 The same source.
53 Investment rating of Russian regions // Expert. 1997. No. 47; Investment rating of Russian regions // Expert. 1998. No.
39; Investment rating of Russian regions // Expert. 1999. No. 39.
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