Reindustrialization of the domestic economy - reserve growth

Kornev A.K.

Institute of economic forecasting (IEF) RAS,, 8-965-403-05-36



Kornev A. K.

Institute of economic forecasting Russian Academy of Sciences,

Russia, 117418, Moscow, Nakhimovsky prospect, 47.

Tel: (499) 129-10-22, Fax (495) 718-97-71,


In the post-Soviet period, as we know, built an open market economy. In terms of keeping the production structures increased industrial proportion between the prices of products of mining and manufacturing. As a result, and increases the cost of manufactured products. It, in turn, determined a significant reduction in the production of five major product groups of the manufacturing industry. They are: 1) key investment production engineering; 2) industrial production machinery investment; 3) intended for the production of consumption products production in manufacturing industry; 4) production of national consumption; 5) production of technically complex consumer durables. The result is a degradation of the manufacturing industry and de-industrialization of the economy. In accordance with predicted estimates of the current trends will lead in the long term to a twofold decrease in the volume of manufactures.

Reindustrialization of the economy, first of all, must provide for the reinstatement of industrial proportions between the prices of products of mining and manufacturing on the basis of new modern production structures that use internal non-market prices. In this way can be eliminated the cost of manufactured products. Re-industrialization of the economy involves the recovery of production of manufactures in the composition of each of these groups. This does not exclude the possibility that the production of each group of manufactures will be included in a separate new production structure. The restoration of the production volumes must be performed in a specific order, beginning with the key industries of investment engineering, and will require a certain period of time. The modernization and renewal of production facilities the key enterprises investment machinery should be carried out using imported equipment and ensure their high technical level. A significant increase of manufactures will increase production of virtually all sectors of the economy.

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