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This paper examines conditions and prerequisites of sustainable economic growth, an optimal condition of the national economy between recession and inflation in terms of providing of the long-term inflationary neutral economic growth in achieving the Pareto-efficient condition in the economy. The research analyzes the possibilities of economic policy in order to provide both stability and economic growth. The model designed and tested in the paper is based on the Domar model of economic growth. Our findings might be of some relevance for the countries aiming to achieve the goal of economic growth without significant fluctuations in prices and unemployment.
Kendiukhov et al. (Sun,) studied this question.