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Modeling of R&D expenditure cross-financing in the federal district

Vol. 28, Iss. 2, FEBRUARY 2022

Received: 4 November 2021

Received in revised form: 29 November 2021

Accepted: 13 December 2021

Available online: 28 February 2022

Subject Heading: INVESTING

JEL Classification: C63, E17, O21, O36

Pages: 295–321

https://doi.org/10.24891/fc.28.2.295

Sergei N. YASHIN National Research Lobachevsky State University of Nizhny Novgorod (UNN), Nizhny Novgorod, Russian Federation
jashinsn@yandex.ru

https://orcid.org/0000-0002-7182-2808

Egor V. KOSHELEV National Research Lobachevsky State University of Nizhny Novgorod (UNN), Nizhny Novgorod, Russian Federation
ekoshelev@yandex.ru

https://orcid.org/0000-0001-5290-7913

Sergei A. BORISOV National Research Lobachevsky State University of Nizhny Novgorod (UNN), Nizhny Novgorod, Russian Federation
ser211188@yandex.ru

https://orcid.org/0000-0002-6829-0230

Subject. This article deals with modeling of R&D costs optimal cross-financing within the regions of Russia that have the appropriate scientific potential.
Objectives. The article aims to develop a model for optimizing and planning R&D costs cross-financing in the Federal District, which takes into account the specific technological and economic results of research in the District regions.
Methods. Various R&D costs by type of work are made dependent on three areas of planning of the District regions' innovative development, namely, investment, production, and financial. All the three processes are considered simultaneously. Nonlinear regressions of R&D costs by type of work get optimized through a genetic algorithm, simulated annealing, and pattern search, which helps calculate the reserve or lack of corresponding R&D costs in each region of the Federal District.
Results. The article presents an author-developed model with certain positive characteristics to optimize and plan R&D costs cross-financing in the Federal District.
Conclusions and Relevance. The results of global optimization allow us to conclude that in the conditions of saving federal budget funds, the Federal District can partially finance all the R&D costs in those regions that need it. In order to identify such regions in a more substantiated way, it is necessary to analyze this situation in detail, that is, in the context of various research costs by type of work. The presented approach can facilitate the adoption of better decisions by government entities and their experts in relation to the planning of innovative development of industrial regions of the country.

Keywords: innovative development of regions, investment planning, production planning, financial planning, research and development costs

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