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The new industrial policy will entail a revision of the approach to single-industry towns

The reform of the list of single-industry towns speaks of the new industrial policy of the Russian Federation, noted in the comment for ABF "Economics today» Professor of the Department of Management and Business Technologies of the PRUE. D. AT. Plekhanov, Doctor of Economic Sciences Valery Maslennikov.

The new industrial policy will entail a revision of the approach to single-industry towns

The Ministry of Economic Development proposes to reduce the number of single-industry towns in Russia from 321 to 163, which will lead to a decrease in administrative and financial assistance from the state to the affected settlements.

Monocities are traditional for Russia

Monocity is a settlement, whose economy is built on the basis of a city-forming enterprise. Monospecialization of the settlement gives positive effects in the medium term in terms of organizing production. This approach is used all over the world, but in the USSR it received the greatest distribution thanks to the Soviet industrial policy.

Nuclear power plants are a prime example., around which a new city with an independent closed economy was being built, and where people came from all over the country: in the memory of the population merged such concepts as the Chernobyl nuclear power plant and the city of Pripyat.

A similar scheme was built around large industrial plants and strategic industries., it became widespread in those regions, where people are reluctant to go: this is primarily Eastern Siberia and the Far East.

The new industrial policy will entail a revision of the approach to single-industry towns

The Russian economy is already Soviet and is based on market principles, therefore, subsidizing single-industry towns from the budget is, At first, financial invoice, and secondly, raises questions on the economic development of the country.

In the Russian Federation, inefficient production is often supported to maintain employment and support a number of settlements, but in the long run this translates into low labor productivity (population income) and other problems.

Izvestia's material refers to a letter from Maxim Oreshkin (headed the Ministry of Economic Development of the Russian Federation until 15 January 2020 of the year) addressed to the chairman of the committee on economic policy, industry, innovation development and entrepreneurship of the State Duma of the Russian Federation Sergei Zhigarev.

Likely, the document was prepared more than a year ago, before the "coronavirus" events, and with a different composition of the Government of the Russian Federation.

The department is pushing for that, what is on the Russian list 321 monocity, however, only 190 of them. Other settlements, according to the Ministry of Economic Development of the Russian Federation, ceased to be single-industry.

Unemployment rate in single-industry towns – below the Russian average, a number of them have lost the qualities necessary for the status, and there was an adaptation of the labor market: they no longer depend only on the specialized company, which allows the state to reconsider priorities.

The new industrial policy will entail a revision of the approach to single-industry towns

A new industrial policy is being implemented in the Russian Federation

"Monotowns in the Russian Federation are historically objects of, around which industrial production is created. The reduction in the number of single-industry towns means the redistribution of industry throughout the country ", – says Maslennikov.

The Ministry of Economic Development proposes to update the list of single-industry towns and concentrate resources on settlements with a less stable situation, but regarding municipalities, who will be deprived of this status, all government obligations will be fulfilled.

“Earlier in the RAS there was a council for the development of productive forces, determining places of production and consumption, where and how to do it effectively. We haven't seen a solution lately, industrial spatial development. I think, that such a decision will lead to a concentration of efforts in a smaller number of industrial centers in the Russian Federation ", – concludes Maslennikov.

This process is resource optimization, but we must not forget about that, that the Russian Federation is the largest country in the world, where there are huge territories with a stable outflow of population. Their development must be stimulated from the budget..

The new industrial policy will entail a revision of the approach to single-industry towns

It is impossible to preserve the economic potential of Siberia and the Far East without the help of the state: this should be taken into account in the industrial policy of the Russian Federation. Optimization of single-industry towns should not hit the development of Russian regions.

“Monocities are created around industrial facilities. This is not just a place where people live, but also their work. If support for such settlements ends, it will worsen the situation in these settlements ", – summarizes Maslennikov.

Both Cherepovets and Togliatti are on the downgrade list, where economies have long been established, so is Altaysk (Altai region), Corner (Novgorod region) and Kotovsk (Tambov Region). They are offered to be removed due to the low unemployment rate..

Monocity status is not a "sacred cow", but the reform of the list should proceed from the basic programs of industrial policy and economic development, and not from the categories of savings, budget optimization and other fiscal decisions.

The new industrial policy will entail a revision of the approach to single-industry towns

“The industry is undergoing restructuring in the Russian Federation: single-industry towns serve production, therefore, there is a redistribution in the national economy, objects are created in new territorial enclaves. The reason for the reallocation is not accounting, but the point is, that Russia is pursuing a different industrial policy ", – says Maslennikov.

The development of the economy should be comprehensive, not for the sake of export or import: this should also apply to single-industry towns.

Dmitry Sikorski

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