Crisis in Russia’s Foreign Economic Activities: Ways to Overcome

209
DOI: 10.20542/0131-2227-2017-61-5-57-66

V. Fal’tsman (m975032@gmail.com),
Institute of Applied Economic Research, Russian Presidential Academy of National Economy and Public Administration (RANEPA), 84, Vernadskogo Prosp., Moscow, 119571, Russian Federation 



Abstract

The influence of the current crisis in foreign economic activities on innovations, investment and economic growth in the Russian economy is considered. The author estimates competitive advantages and industrial growth factors, prospects for import-substitution and exports of consumer goods, cars, metal-cutting machinery, civil jets, armaments, products of atomic industry and some other branches, as well as of tourist and transportation services. The limits of import substitution of high-tech products – drugs, medical and computing technologies, communication equipment and others – are shown. The author discusses four possible scenarios to promote competitiveness of national goods at domestic and world markets: (1) joint projects with the foreign companies, (2) technology borrowing, (3) conversion of domestic military and energy complexes, (4) new social request to the Russian science. The options to increase the non-budgetary investment into import substitution and export development are mainly based on the state measures to increase the attraction of projects to home and foreign investors. Under the current conditions of ageing population, reducing employment, exhaustion of oil-fields as well as other natural resources the state policy re-orientation towards lower social commitments and ambitions seems inevitable. The role of the state switches from direct financing of projects to improving the external framework of project implementation and providing local preferences both on regional and municipal levels. The resource of budgetary financing transforms into administrative intervention. The burden of overcoming the current crisis of foreign economic activity is further transferred to the regional and municipal levels as well as to private enterprise. An essential prerequisite for promptly overcoming foreign economic activities’ crisis relates to the improvement of global geopolitical situation. 


Keywords

foreign trade, crisis, competitiveness, import substitution, raw materials’ export, investment, innovations, growth points


REFERENCES

1. Ivanov I. D. Vneshneekonomicheskii kompleks Rossii: vzglyad iznutri [Russian Foreign Economic Complex: a View from Inside]. Moscow, Olimp, 2009. 415 p.

2. Obolenskii V. P. Vneshneekonomicheskaya spetsializatsiya Rossii. Osobennosti evolyutsii i perspektivy diversifikatsii [Russian Foreign Economic Specialization. The Features of Evolution and Prospects of Diversification]. Moscow, Russian Foreign Trade Academy (RFTA), 2009. 234 p.

3. Bruzelius N., Rotengatter V., Flyvbjorg B. Megaproekty i riski. Anatomiya ambitsii [Megaprojects and Risk. An Anatomy of Ambitions]. Moscow, Alpina Publisher, 2014. 288 p.

4. Zinov’eva I.V., Inozemtseva S.N., Mindeli L. E. Nauka, tekhnologii i innovatsii Rossii [Russian Science, Technologies and Innovations]. Moscow, ISS (Institute for the Study of Science) RAS, 2014. 107 p.

5. Mau V. A. Chelovecheskii kapital. Vyzovy dlya Rossii. Nauchnye doklady RANKh i GS [Human Capital. The Challenge for Russia. Scientific Readings of Russian Presidential Academy of National Economy and Public Administration (RANEPA)]. Moscow, Delo Publishing House, 2013. 30 p.

6. Traub-Merts R. Neft’ ili avtomobili? O vozrozhdenii promyshlennosti Rossii [Oil or Cars? About Revival of Industry in Russia.] Available at: http://www.fesmos.ru/netcat_files/123/183/Neft__ili_avtomobili.pdf (accessed 2016.01.04).

7. Abramov M. D.Nalogovaya sistema – glavnoe prepyatstvie na puti investitsii v promyshlennost’ Rossii [Tax System – the Main Obstacle for Investing into the Russian Industry] Available at: http://me-forum.ru/media/news/5806/ (accessed 26.05.2006).

8. Praktika regional’nogo razvitiya. Spetsial’nyi doklad [Practices of Regional Development. Special Report]. Expert, 2016, no. 24(991), pp. 54-83.


Registered in system SCIENCE INDEX

For citation:
Fal’tsman V. Crisis in Russia’s Foreign Economic Activities: Ways to Overcome. Mirovaya ekonomika i mezhdunarodnye otnosheniya, 2017, vol. 61, No 5, pp. 57-66. https://doi.org/10.20542/0131-2227-2017-61-5-57-66



Comments (0)

No comments

Add comment







Indexed
 
Current Issue
2019, vol. 63, No. 10
Topical themes of the issue:
• China: Domestic and Foreign Policies (To the 70th anniversary of PRC)
• USA: Politics and Society
• Global migration governance: theory, institutions, politics 
View This Issue (2019, vol. 63, No. 10)
Send article

Dear readers!
Please note that free access to full-text issues of the Journal is being opened at our WEB-site after 6 months of the date of publications. Currently, the releases of 2015–2018 are available for free. The work on deepening the open archive of full-text issues will be continued.

Dear readers!
This is to inform the researchers of the Institute of World Economy and International Relations that electronic version of the 3-nd issue of 2019 of French magazine Politique étrangère is now available. Those who are interested, please personally address to the editorial staff of MEMO Journal (room 18-17) with an electronic media (e-mailing is not possible because of technical reasons).

NEW SECTION

In response to the challenges of our time the Editorial board continues to open new thematic rubrics:

“The Common Spaces”. The XX century was marked by the process of active development of the so-called common spaces, namely the World ocean, outer space and the Internet which, due to various reasons, were previously perceived as peripheral for the mankind and were not used at all or less intensively. Since then, the degree of their development and usage is constantly increasing. Even though the prospects of obtaining material dividends from their use are often extremely remote, the level of competition there is steadily increasing, resulting in growing inter-state conflicts’ potential.

“Silk Road and prospects of Great Eurasia”. It is planned to publish materials concerning the Chinese project of Silk Road and its impact on the socio-economic development of various countries in Eurasia and the integration processes in this mega-region.

“Africa today and tomorrow”The rubric devoted to contemporary issues of Africa which is attracting growing interest of the world's leading actors. We plan to publish the articles analyzing the status of statehood, socio-economic and political development of the countries of Black continent, as well as the integration processes between them.

“Civilization processes of modern development” is a new rubric opened by MEMO Journal in 2020. It will be devoted to the analysis of the influence of civilizational factors and inter-civilizational interactions on the political and socio-economic development of the world at whole, regions and countries.

Dear colleagues, authors and readers!

We kindly request you to turn to editor-in-chief and executive secretary directly concerning reviewing scientific publications in our journal. Only editor-in-chief takes decision on order and publication the reviews!

CONTEST!

"World Eсonomy and International Relations" announces a contest for the best joint academic publications of domestic and foreign researchers and experts in topical issues of the world economy and international relations. The winners will be selected according to the results of peer reviewing and discussion at the Editorial Board. The articles will be published in priority order.

SUBSCRIBE TO THE JOURNAL

The print version of “World Economy and International Relations” journal is distributed by advance subscription only, and is not offered for retail sale. To subscribe please address to any post office in Russia by referring to the Federal Postal Service Union Catalogue, section “ARSMI”, the journal index is 70542. The subscription may be made for the whole subscription period or starting from any nearest available month for desired number of issues.

To purchase the full-text electronic version of the journal’s issue/article please address to the WEB portal of Scientific electronic library eLIBRARY.ru or URL: https://press.gaugn.ru/.

In journal
WORLD ECONOMY AND INTERNATIONAL RELATIONS
                     Archive
                     Subjects
                     Authors
                     Articles for the year
                     Authors for the year
Years
2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | 2007 | 2006 | 2005 | 2004 | 2003 | 2002 | 2001 | 2000 | 1999 | 1998 | 1997 |

The author’s opinions may not coincide with the position of editorial