Import Substitution and National Projects as Incentives for the Development of the Russian Economy under the Conditions of Economic Sanctions

Abstract

The article is dedicated to the possibility and prospects of development of the domestic economy under the conditions of economic sanctions and its transition from a raw material model to an economically developed one, through the implementation of import substitution programmes and other national projects approved by the President of the Russian Federation. Import substitution is defined by the author as a process of economic transformation carried out with the protectionist support of the domestic producer by the state, which is intended to result in the production of domestic goods and services designed to replace foreign analogues increases without compromising quality. The article presents the characteristics of the main areas that have become the object of import substitution, taking into consideration the state of the labor market. The author ranks Russian society among the societies of trauma and concludes that there is a gradual decline in demographic, labor, and industrial potential, which can be stopped due to a change in the economic model. It is concluded that it is necessary to focus on the most promising areas, which require, along with the industrial base, the development of their own engineering school and human resource capacity.