THE MOBILIZATION MODEL OF THE RUSSIAN ECONOMY IN THE CONTEXT OF THE SPECIAL MILITARY OPERATION AND THE SANCTIONS: PRESENT AND FUTURE CHALLENGES

Yuriy Bekrenev

THE MOBILIZATION MODEL OF THE RUSSIAN ECONOMY IN THE CONTEXT OF THE SPECIAL MILITARY OPERATION AND THE SANCTIONS: PRESENT AND FUTURE CHALLENGES

Published in JOURNAL OF REGIONAL AND INTERNATIONAL COMPETITIVENESS · Volume 4, Issue 1 · Pages 49–61 · Rubric: NATIONAL COMPETITIVENESS

Received: 15.02.2023 Accepted: 15.02.2023 Published: 16.06.2024 Language of publication: ENG

Authors

Yuriy Bekrenev

ORCID

Yuriy Bekrenev

Academic degree: candidate of economic sciences

Science rang: docent

Yaroslavl State Technical University Yaroslavl

ORCID

ABSTRACT

The paper analyses the economic and military-political situation in Russia regarding the special military operation (SMO) in Ukraine. The paper shows possible threats to the country, escalation of the conflict, full utilization of existing industrial capacities and the need to expand these capacities as soon as possible. However, Russia's economy is still based on the principles of market liberalism. Existential threats show the country will inevitably come to the necessity of mobilizing its economic life to meet the challenges of its survival. The author considers the philosophy, theoretical content of the concept of «mobilization economy», its principles, signs and conditions of the country's transition to it. Also the paper dwells on the historical retrospective of its emergence. The existing politico-military and socio-economic situation is dictating the necessity to implement the model of market economy. It is also investigating the presence of its elements in the existing model of market economy. The author identifies the main steps for its implementation in Russia in the nearest future. The key conditions for the transition to a mobilization economy in Russia are: rejection of the monetarist liberal model of economic development; cancellation of the collateral auctions of 1995 results and nationalization of strategic enterprises and industries; updating the legal framework to ensure the fastest possible transition of the country to large-scale state regulation of macroeconomic economic activity; the revival of the national economic complex based on the restoration of the of the Russian energy unified system; restoration of the national strategic planning and management system of socio-economic development; the introduction of the country centralized management with the officials responsibility degree determination for the management decisions made and implemented; nationalization of the Bank of Russia. Therefore, we can conclude the objective regularity of mobilization transformation of the Russian economy in terms of further development and escalation during the military conflict.

KEYWORDS

MOBILIZATION ECONOMY, EXISTENTIAL THREATS, ADMINISTRATIVE REGULATION, IMPORT SUBSTITUTION, NATIONAL SECURITY, INDUSTRIAL PRODUCTION, PLANNED ECONOMY, MILITARY-INDUSTRIAL COMPLEX, CONCENTRATION OF FUNDS, CENTRALIZATION OF PUBLIC ADMINISTRATION

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