Journal section "Public finances"

Metallurgical Corporations and the State: Trends in Financial Interaction of the Last Decade

Pechenskaya-Polishchuk M.A., Malyshev M.K.

Volume 14, Issue 3, 2021

Pechenskaya-Polishchuk М.А., Malyshev М.К. Metallurgical corporations and the state: trends in financial interaction of the last decade. Economic and Social Changes: Facts, Trends, Forecast, 2021, vol. 14, no. 3, pp. 150–166. DOI: 10.15838/esc.2021.3.75.9

DOI: 10.15838/esc.2021.3.75.9

Abstract   |   Authors   |   References
The dominant role of big business in the formation of Russia’s GDP determines its high importance both for the country’s economy as a whole and for the economies of individual regions. In this regard, studies that address the issues of assessing the financial interaction of large corporations with the state are relevant and necessary. Interaction of these economic agents with each other is complex and contradictory, as in modern market conditions the interests of the state and economic entities are multidirectional. The Vologda Research Center of RAS pays attention to studying the influence of large corporations on regional development, in particular on the formation of budget revenues. As a result of the long-term research, we have formed a serious factual base that allows understanding the main interaction features of large businesses with the regional and federal budgets, to determine systemic shortcomings of the state’s tax policy including those related to the taxation of profits and income of corporate owners. However, currently, there is no single mechanism in the scientific literature that can be used to most comprehensively assess the financial interaction of large businesses with the region. At the same time, the results of such an assessment can become a serious foundation for justifying many management decisions. The purpose of the study is to assess the trends of financial interaction between the state and corporations on the basis of the developed methodological tools. The authors have tested the methodology in the case of ferrous metallurgy industry. The object of the study is the financial interaction of large ferrous metallurgy corporations (PJSC “Severstal”, PJSC “MMK” and PJSC “NLMK”) with the state. The paper uses the methods of structural (weight) analysis, coefficient analysis linking the microeconomic indicators of enterprises with the macroeconomic indicators of the home regions, the index method, and the method of level estimation when creating the methodological assessment tools


regional economy, budget system, ferrous metallurgy, interaction assessment, taxation of large corporations, assessment methods and tools

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