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Industrial Development Issues in the Economy of the Old Industrial Regions of Russia

Uskova T.V., Lukin E.V., Mel'nikov A.E., Leonidova E.G.

№4 (52), 2017,  rubric "Regional Economy".

Industrial Development Issues in the Economy of the Old Industrial Regions of Russia [Text] / T.V. Uskova, E.V. Lukin, A.E. Mel'nikov, E.G. Leonidova // Economic and social changes: facts, trends, forecast. – 2017. – № 4. – C. 62-77. – DOI: 10.15838/esc.2017.4.52.3

DOI: 10.15838/esc.2017.4.52.3

Abstract   |   Authors   |   References
Achieving balanced economic development is a key task for old industrial regions, in which many industrial sectors are concentrated. However, current macroeconomic situation does not promote the development of industrial sectors and new technological modes; moreover, it can lead to a decline in production output, tax proceeds, people’s real incomes, consumer demand and other negative trends in socio-economic development. A considerable gap in labor productivity between Russia and developed countries as well as between old industrial regions indicates the existence of major problems in Russian industry. For this reason, the aim of the research is to identify main trends and issues in the industrial76 Том 10, № 4, 2017 Экономические и социальные перемены: факты, тенденции, прогноз Проблемы развития промышленного сектора экономики старопромышленных регионов России sector of old industrial areas in order to work out its further development prospects. Methodological framework of the study includes economic, statistical, and comparative analysis, generalization, and sociological survey. The works of Russian and foreign economists in the field of regional economics, official data of the Federal State Statistics Service, databases of international organizations including the World Bank, the Organization for Economic Cooperation and Development and the U.S. Bureau of Labor Statistics constitute the information base of the present study. It also uses research findings of I.V. Makarov, G.B. Korovin, K.V. Pavlov and others. The paper defines problems in the development of old industrial regions; the major problem is insufficient funding, which does not allow industrial enterprises to carry out full reconstruction and technological upgrade. The paper points out measures that would promote economic modernization in Russia’s old industrial regions. Findings of the research can be used by regional authorities in the elaboration of economic development programs

Keywords

economic development; industry; labor productivity; investment; regional economy; region; Regional economy; Labor productivity; Region; Industry; old industrial regions

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