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Growth in prices for mining products in the post-Soviet period and economic deindustrialization
Abstract
In the context of growing prices for mining products aimed at achieving the world price level, economic deindustrialization occurs due to the changed proportions of the redistribution of natural resource royalties. The ways of the cross-sectoral redistribution of resource royalties and increase in their macroeconomic efficiency by changing forms of industrial production are discussed in the article.
... It evolved from factor analytic theory (Brown, 1996). Q-methodology is used in a wide range of fields such as political science, geography, and health economics, and is increasingly being used in stakeholder analyses in the fields of sustainable development (Curry et al., 2013); (Davies and Hodge, 2007)), management of natural resources (Guimaraes, 2010); (Ramseur and Hagerty, 2013), agriculture (Davies and Hodge, 2007), forestry (Bélanger, 2009); (Steelman, 1999), sustainable development of a coastal zone (Guimarães et al., 2012), road infrastructure (Kornev et al., 2016), and others. ...
Stakeholder analysis has increased in popularity, with a wide range of organizations opting to analyze participants in many different fields. It is used by policy makers, regulators, governmental and non-governmental organizations, businesses and the media to identify key partners, target groups, and address issues of common interest. It aims to facilitate institutional and organizational reform processes, based on the information of stakeholders’ interest. Policy makers can decide how to cooperate with stakeholders, thus ensuring that their adopted strategies are realistic and sustainable. The opinions of the most powerful stakeholders can shape a project at an early stage. Thus, stakeholder analysis could be a useful tool for gaining understanding and building consensus, communicating the benefits of the DOCKSIDE project, and building strong and inclusive campaigns which involve the public.
The article examines the ways to subsidize domestic manufacturing industries. In modern conditions of an open market economy, a return to the redistribution of natural rent on the basis of the transformation of existing manufacturing industries into vertically integrated intersectoral corporations is proposed.
The article has addressed the problem of the deindustrialization of the economy as a result of an increase in cost of manufacturing products due to a decrease in the industrial proportion between the prices of products of extractive and processing industries. The restoration of the industrial proportion has determined opportunities to increase production for five groups of products in the machinery industry, reindustrialization, and economic growth.
Problems overcoming of the deindustrialization of the modern Russian economy are dealt with. The experience of the Soviet Union and the reindustrialization of the United States economy in 1980s are compared. Reindustrialization potential on the Russian economy based on partially government-owned vertically integrated intersectoral corporations is analyzed.
The paper analyzes the consequences of radical reforms in the Russian economy for the development of the manufacturing sector, including the behavior of relative prices for manufactured goods, downsizing of enterprises, and problems of the noncompetitiveness of enterprises in the manufacturing sector compared with the approaches to competitiveness in the economy of the United States. The full development of vertically integrated multisectoral corporations owned by the federal government is considered to be a possibility for overcoming the noncompetitiveness of enterprises in the manufacturing sector.
The paper contemplates problems that have stockpiled in the domestic economy. A conclusion is made that these problems have arisen because manufacturing was devoid of the part of natural rent obtained by the extractive industry and formerly distributed in favor of manufacturing. Now it is proposed to create vertically integrated interindustry corporations (VIICs) similar in structure to international transnational corporations (TNCs). They are necessary in our country because of its inclement climatic conditions and geographic location, as well as in view of its current economic strategy aimed at large-scale import substitution.
The paper reviews profitability ratios of economic activities and industries, including engineering, as well as the main types of reproduction of the active part of capital, taking into account the influence of the share of small entrepreneurship on the reproduction process. The creation of vertically integrated interdisciplinary corporations (VIICs) in order to increase the profitability of investment engineering industries and accelerate the upgrade of the productive apparatus of the real economy is recommended.
About updating the active part of the fixed capital of the industrial sphere
- A K Kornev
Mysterious Siberian Sultanate
- K Gurdin