The state in the post-war industrial recovery and economic renewal: historical parallels and approaches for Ukraine

Abstract

In 2022, Ukrainians are experiencing the most tragic events since the Second World War - the full-scale invasion of Russian troops into Ukraine has led to numerous casualties, the destruction of cities, and the disruption of infrastructure and industrial facilities. Since the first days of the war, the dependence on the industrial imports (primarily for military purposes) became obvious, as well as the fact that the ensuing socio-economic crisis cannot be overcome with domestic resources alone - both now and even after the end of the war. This prompts the search for mechanisms to ensure the stability and recovery of Ukraine's economy. The purpose of the article is to generalize the global experience of prioritizing the industry in the state policy of the leading countries of the world under the conditions of severe tests, to illustrate the implementation by the state of the functions speeding up economic recovery; and to propose conclusions and recommendations for Ukraine. The article shows the place of industry in the policy of recovery, gaining economic independence and increasing the country's power. Using historical examples, the authors demonstrated that during 300 years the state has influenced the industry through targeted political levers and institutional frameworks, generating the optimal results of measures aimed at restructuring to overcome the consequences of wars, epidemics and crises. It is substantiated that under the severe ordeals, the state has played a leading role in economic recovery, implementing a number of functions - administration and moderation, stimulation and catalysis, integration and cooperation, entrepreneurship and consumption, conservation and protection - to speed up the development of national industry as a source of the stabilization of employment, domestic and foreign investment, inflation, foreign trade and the financial sector, contributing to national social balance and well-being. The authors propose a conceptual approach to the functions of the state during post-war recovery of Ukraine's economy, ensuring economic stability and growth based on the national industry.