State Policy to support Manufacturing Industries of Russia under International sanctions

Abstract

The article considers the problem of improving the state support system for manufacturing industries in Russia. We show that the enormous damage caused to the industry during privatisation and market reforms led to devastating consequences, compensated in recent years by a system of state support. However, it concerned only the financial and credit measures. Based on the theory of complex systems, we made a reasonable conclusion that modern industrial enterprises, of course, belong to complex rather than simple systems. At the same time, both general ideas about the economy and the system of state measures to support the industry in Russia are built based on neoclassical approaches to the object of influence as a kind of simple system. We critically analysed the import substitution policy opponents’ arguments in Russia and showed that they are aimed at “simplifying the economy”, i. e. towards the reduction of complex systems to simple ones. Based on the analysis of the database of measures to support the state industry information system (GISP), we concluded that financial and credit measures dominate over organisational and economic ones, which emphasises the prevailing wrong approach of the managing subject to the management object (manufacturing industry) as simple systems.