Wednesday, September 8, 2010

In Russia, modernization is impossible for foreign models

Wednesday, March 24, 2010, 3:17
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Information Unit (part of the investment holding company “Finam”) held a conference “Modernization and the state corporation: how to become effective?”. Its members believe that the renewal of Russia”s economy requires not only political will but also the support from society. This modernization, by analogy with the Asian countries are unlikely to realizable, given the differences in the mentality of the population and the investment climate.

Modernization of the economy requires a number of conditions, experts say. “The modernization needs a” political inquiry “(clearly a politically important goal unattainable without the upgrade) and strong power, able to undertake the necessary reforms”, - says the chief economist of the Criminal Code “Rus-Capital” Alex Logvin. Expert UK “Finam Management” Dmitry Baranov agree that the political component in the modernization of present, but not a primary condition of its holding: “It (the upgrade) depends on our bureaucracy and how much she would oppose it. The authorities need to draw on its part of society, while modernization will have a chance of success. ” On the other hand, for modernization requires freedom of choice and action, and belief in the protection of their rights and stability rules of the game, adds the professor, New Economic School, CEFIR economist Natalya Volchkova: “The current government because there is one, that in other circumstances - with the professional courts and t . etc. - it would long ago have not been. ”

One of the main conditions of economic modernization is a fundamental renewal of the technical and technological base of production, says the head. Laboratory structural problems of the economy of the Institute for Economy in Transition Olga Izryadnova: “Here we are talking about a fundamentally new technologies and industries. This involves consolidating the efforts of all market participants.” True, investing in technology in Russia today is less favorable than in the vast majority of other areas, noted CEO FinExpertiza Consulting Dmitry Shusternyak: “It is ironic but true - we have too many opportunities, we are too rich in resources to to develop the technology. Therefore, the required state-owned companies (whether Federal State Unitary Enterprise, JSC or state corporation) - do what privatefcdbusinesses do not want to.

In addition, modernization requires the State to reduce taxes, tax exemptions, cheap credit lines, says Mr. Shusternyak: “The trouble is that we do not yet manufacture - not the most, to say the least profitable business. produce oil, cut and remove timber, trade - more profitable than anything to produce. Several other position holds Ms. Volchkova, believing that the main challenge for the modernization of the state - to ensure conditions for fair competition in the banking sector and in commodity markets: “Then the rate will be such that both banks and enterprises can evolve.”

modernize the economy modeled on the rapidly developing Asian nations such as Japan, China and Singapore, according to experts, almost impossible. “The way these countries we have, unfortunately (or fortunately, I do not know), most likely doomed to failure, because we have other people - the expert of the Economic Expert Group Elena Lebedinskaya. - Other labor force with very different motivations . And the motivation of people in this situation - one of the most important aspects.

Department of Public Relations and Media Investment Holding Finam.
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