Authors: E.A. Taran, O.V. Zhironkina

Title of the article: Is endogenous growth possible in the Russian economy in the context of economic convergence?

Year: 2021, Issue: 3, Pages: 35-46

Branch of knowledge: 5.2.1 Economics

Index UDK: 338.012

DOI: 10.26730/2587-5574-2021-3-35-46

Abstract: Unstable growth rates of the Russian economy, dependence on the world market for raw materials, the effect of sanctions - all this raises the question of a theoretical justification of long-term growth models based on internal sources of increasing capital efficiency and increasing international competitiveness. Such growth can only be endogenous and independent of political action. In addition, since in the Russian economy the factor of material capital has always been decisive for the growth of the economy, in which industry plays a dominant role in investments and tax revenues of the state. At the same time, the neoclassical production function in all its interpretations is focused on the homogeneous conditions of countries with market economies, in which the industry went through successive stages of modernization. Therefore, to “embed” the Russian economy into the global trends of economic convergence, with a characteristic convergence in terms of per capita GDP and growth rates, it is necessary to increase the factor efficiency of capital, taking into account the specifics of the development of the spheres supporting this process – science and education, the institutional investment environment. The interconnection of these exogenous and investment endogenous factors of sustainable growth should become the basis of state economic policy.

Key words: economic growth endogenous growth economic convergence structural shift growth models

Receiving date: 15.09.2021

Approval date: 03.10.2021

Publication date: 17.12.2021

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