On the Creation of Internal Sources of Economic Development

Abstract

The article reveals the specifics of the economic model of Russia, which has been formed over thirty years after the reforms of the 90s. The article addresses the new reality associated with challenges and threats to the national economy. Modern geopolitical events actualize the problem of stability and efficiency of the existing Russian economic model. The article reveals two main approaches to assessing the current model. According to the first approach, a normal market economy has been formed in Russia over thirty years, and further development consists in improving market institutions and following the vector laid down by the reforms of the 1990s: “doliberalization”, including the “second wave of privatization”. The second approach is the opposite of the first. On the basis of the author’s calculations, a deep failure in economic growth and development, which arose as a result of the radical reforms of the 1990s, is substantiated. The proposition about the “failure of private property” has been put forward and proved on the basis of the concrete material of Russian reforms. Implementing a systematic approach in their study, the authors propose significant changes in the foundations of the Russian economic model. Analyzing the strategic goal of technological development based on the principles of security and self-sufficiency, put forward at the SPIEF on June 17, 2022 by the President of the Russian Federation V.V. Putin, the authors come to the conclusion that without the active and purposeful participation of the state, this task cannot be solved, just as it has not been solved for thirty years. The authors believe that the task set is comparable in scale and complexity to the industrialization of the 1930s. Its solution requires: the development of a comprehensive and promising program of scientific and technological development of the country; strategic planning for the development of the national economy at the expense of the state budget and indicative planning for private investment using targeted incentives. It also proposes a redistribution of income streams with the transformation of foreign “leaks” into domestic “injections”.