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National Interests: Priorities and Security
 

The development of mercantilism and its role in modern agrarian economic policy of Russia

Vol. 10, Iss. 38, OCTOBER 2014

Available online: 13 October 2014

Subject Heading: Priorities of Russia

JEL Classification: 

Pages: 2-8

Savkin V.I. Russian Presidential Academy of National Economy and Public Administration, Moscow, Russian Federation
v.i.savkin@mail.ru

Importance The mercantilism, by its essence, is connected with market relations, governed by the State. The Russian economy throughout the course of its history achieved the various degree of success while developing such relations.
     Objectives The purpose of the work is the consideration of the evolution of mercantilism as a basis of active State policy, and also the identification of its role in the modern agrarian economy of Russia.
     Methods A system analysis of the development of mercantilism as a school of sciences and its influence on the agrarian sector of economy serves as the methodology of the paper. The Russian Federation performs the purposeful policy of mercantilism, which comprises the increase of State support of the agricultural sector. In this situation, the State needs to grant support to the domestic producers through the stimulation of agricultural production exports, which facilitates achieving the required level of food security, in other words, it necessitates the drastic change of agrarian policy, the mechanism of distribution of financial assets, as well as the foreign economic activity.
     Results The result of the study is the established system of imperatives, which enhance the role of mercantilism in the modern agrarian economic policy. The imperatives comprise the stability and continuity of the agrarian course of the State through the preservation and correction of the effective directions and measures of agriculture support; consistency of the policy which covers economic, social and ecological aspects of the sector in combination with the domestic market regulation and ensuring the foreign markets accessibility of the economic entities. Besides of this, the imperatives also comprise the joint financing of the priority directions of production from the federal and regional budgets. The agro food policy should be a subject of joint competence of the federal center and the constituent entities of the Russian Federation. The public-private partnership's development assumes the great importance. It encompasses the integrating efforts of the State and business aimed at achieving the efficiency of the modern agrarian economic policy, and also defining the tools, ensuring the development of mercantilism in the modern agrarian economy of Russia.
     Conclusions and Relevance I emphasize that the reached results may be applied in adjusting the State agrarian policy, and the development of regional programs of domestic producers support.

Keywords: agrarian economy sector, State support, mercantilism, foreign trade, food security

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