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Core of innovation economy

A guarantee of the domestic economy's competitiveness lies in a continuous process of improving all its spheres in terms of innovation.

Today the level of a society's development is appraised not so much by its deposits of raw material resources as by its innovation activity, the extent of using scientific and technological achievements in production. Precisely these factors provide any country with competitive advantages in the world's economic contest. That is why we should combine our efforts to solve current problems with measures to secure a stable growth for the future, while taking into account prospects for the country's development. A guarantee of the domestic economy's competitiveness lies in a continuous process of improving all its spheres in terms of innovation.

How to ensure the flow of capital from the economy's raw material sector to the industrial one? Nowadays there is much talk about an industrial policy. As a rule, by that it is meant to make budget investments in either these or other breakthrough industries and technologies. The budget does provide funds for developing and spurring up high-technology industries but in any case they are not sufficient for financing a full-fledged process. There is just no way to solve this problem without funds from big private investors. The probability of making a mistake with an administrative re-distribution of resources is too high. In my opinion, there are simply no such experts, who could determine priorities of development better than those working in a concrete sphere of the economy, in a concrete business. That is why other mechanisms seem to be more effective. It is necessary to allocate more funds for the basic science, for the most important directions of the scientific and technological know-how and applied research. In other words, to make budget investments not in production but in nurturing ideas and technologies as well as in the infrastructure of development. Among other things this includes forming a single market of technology transfers, constructing transit transport corridors and export pipelines, developing up-to-date systems of communication and systems to provide security, building up power engineering.

By the start of the 21st century the share of proceeds from the raw material sector to the country's budget amounted to over 40%. Now it is coming closer to 30%. The dependence on the “oil needle” is gradually getting lower, while sources of the economic growth are emerging already in other industries. And they are extending because of domestic demand and active entry into foreign markets. The core of the innovation economy has already started to get formed in the country and that is big high-technology companies capable of taking upon themselves large-scale financial and technological risks of investments. Along with extending a mutually beneficial barter they attach no less importance to the international investment cooperation in the high-technology sphere. The promising markets for Russian innovation developments and know-how, which are cheaper than the Western ones but quite often are in no way inferior to them by quality, are opening up in China, India and other countries of the East that today are engaged in modernizing their economies.

The government of Russia is working on creating an organizational and legal mechanism to coordinate interests and responsibilities of the State and business. The goal is to concentrate main resources (intellectual capital, investments, technologies) on jointly selected priority directions for the sake of sharply raising the competitiveness of the country's scientific and industrial potential in the world that is undergoing globalization.Alexander Zhukov, Deputy Chairman, Government of the Russian Federation.

 
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