RUSSIAN GOVERNMENTAL INDUSTRIAL POLICY IMPLEMENTATION OPTIONS: SEARCHING FOR THE WAY OF RECOVERY FROM “DUTCH DISEASE”

Abstract

Based on the market failure theory the author argues that market mechanism is unable to undertake solid structural change in the national economics concluding that establishment of the governmental industrial policy is necessary. Mechanism of the “Dutch disease” with its local implications is disclosed. On the basis of comparison of various industrial policy scenarios appropriate for the Russian economics the author defines the most suitable one.

Keywords

• governmental industrial policy
• structural economics change
• “the Dutch disease”
• real exchange rate
• “Resource curse”
• resource rent nationalization
• corporate groups