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№ 2022/4
SALIKHOVA Olena Borysivna1, KREHIVSKYI Oleh Volodymyrovych2
1Institute for Economics and Forecasting, NAS of Ukraine
2Secretariat of the Cabinet of Ministers of Ukraine
The state in the post-war industrial recovery and economic renewal: historical parallels and approaches for Ukraine
| Ekon. prognozuvannâ 2022; 4:7-42 | https://doi.org/10.15407/eip2022.04.007 |
ABSTRACT ▼
In 2022, Ukrainians are experiencing the most tragic events since the Second World War - the full-scale invasion of Russian troops into Ukraine has led to numerous casualties, the destruction of cities, and the disruption of infrastructure and industrial facilities. Since the first days of the war, the dependence on the industrial imports (primarily for military purposes) became obvious, as well as the fact that the ensuing socio-economic crisis cannot be overcome with domestic resources alone - both now and even after the end of the war. This prompts the search for mechanisms to ensure the stability and recovery of Ukraine’s economy. The purpose of the article is to generalize the global experience of prioritizing the industry in the state policy of the leading countries of the world under the conditions of severe tests, to illustrate the implementation by the state of the functions speeding up economic recovery; and to propose conclusions and recommendations for Ukraine.
The article shows the place of industry in the policy of recovery, gaining economic independence and increasing the country’s power. Using historical examples, the authors demonstrated that during 300 years the state has influenced the industry through targeted political levers and institutional frameworks, generating the optimal results of measures aimed at restructuring to overcome the consequences of wars, epidemics and crises. It is substantiated that under the severe ordeals, the state has played a leading role in economic recovery, implementing a number of functions - administration and moderation, stimulation and catalysis, integration and cooperation, entrepreneurship and consumption, conservation and protection - to speed up the development of national industry as a source of the stabilization of employment, domestic and foreign investment, inflation, foreign trade and the financial sector, contributing to national social balance and well-being. The authors propose a conceptual approach to the functions of the state during post-war recovery of Ukraine’s economy, ensuring economic stability and growth based on the national industry.
Keywords:war, economic recovery, industry, industry, state, politics, functions of the state
JEL: L52; L65; O14; O32
| Article in Ukrainian (pp. 7 - 42) | Download | Downloads :192 |
REFERENCES ▼
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31. Schröder, H.-J. (1990). Marshallplan und westdeutscher Wiederaufstieg: Positionen, Kontroversen. Franz Steiner Verlag [in German].
32. Thibault Guillaume Quelle stratégie industrielle pour la France face à la mondialisation? (2008). Editions TECHNIP [in French].
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34. Gaulle, J. (1994). L'avenir du plan et la place de la planification dans la société française. Rapport remis au Premier Ministre. Paris, La documentation française [in French].
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36. Adelman, I. (Ed). (1969). Practical Approaches to Development Planning: Korea’ Second Five Year Plan. Baltimore: Johns Hopkins Press.
37. Saugstad, J.E. (1932). Shipping and Shipbuilding Subsidies: A Study of State Aid to the Shipping and Shipbuilding Industries in Various Countries of the World. U.S. Government Printing Office.
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46. Key industries policy vindicated (1939, September 9). The Chemist and Druggist, CXXXI: 3109, 285-286.
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48. Krehivskyi, O.V. Salikhova, O.B. (2022). Post-war industrial modernization: external and domestic resources. Zovnishnia torhivlia: ekonomika, finansy, pravo. Seriia: Ekonomichni nauky – Foreign trade: economy, finance, law. Series: Economic Sciences, 6, 101-121. doi.org/10.31617/3.2022(125)07 [in Ukrainian]/
49. Heyets, V.M. (2014). Institutional conditionality of innovative processes in Ukraine’s industrial development. Ekon. Ukr. – Economy of Ukraine, 12, 4-20 [in Ukrainian].
50. Salikhova, O.B., Krehivskyi, O.V. (2021). Targeted approach in the implementation of the state industrial policy of Ukraine in conditions of growing dependence on imports. Statystyka Ukrainy – Statistics of Ukraine, 2, 46-57. doi.org/10.31767/su.2(93)2021.02.05 [in Ukrainian]
51. Salikhova, O.B., Krehivskyi, O.V. (2018). A new mechanism of state support of technological innovation for industrial development. Statystyka Ukrainy – Statistics of Ukraine, 2, 30-35. doi.org/10.31767/su.2(81)2018.02.04 [in Ukrainian]
52."Ukroboronprom" will build an ammunition factory together with a NATO member country. Retrieved from defence-ua.com/news/ukroboronprom_zbuduje_bojepripasnij_zavod_spilno_z_krajinoju_chlenom_nato-8995.html [in Ukrainian].
53. Carr, Francis H. (1916, July 29). Synthetic Organic Drugs. Their Manufacture as Affected by the War. Abstract of a Paper read before a Congress of the Society of Chemical Industry on July 20, 1916. The Chemist and Druggist, IXXXVIII: 1905, 778-779.
2. Vyshnevs’kyj, V.P., Zbarazs'ka, L.O., Zanizdra, M.Yu., Chekina, V.D. et al. (2016). The national model of neo-industrial development of Ukraine. NAS of Ukraine, Institute of Industrial Economics. Kyiv [in Ukrainian].
3. Oksana Markarova: "The goal of 40% growth is difficult, ambitious, but achievable" Retrieved from lb.ua/economics/2019/10/25/440657_oksana_markarova_tsil_shchodo_40.html [in Ukrainian].
4. Chyrkov, V.G. (1993, May 12). A correct economic policy of the transitional period. Is it possible? And under what conditions? Blits-Inform, 19(23), 3 [in Russian].
5. Hal'chyns'kyj, A.S., Heyets, V.M., Kinakh, A.K., Semynozhenko, V.P. (2004). Innovative strategy of Ukrainian reforms. Kyiv: Znannia Ukrainy [in Ukrainian].
6. Krehivskyi, O.V. (2007). Industrial potential of Ukraine: state and prospects. Kyiv: Feniks [in Ukrainian].
7. Kindzers'kyj, Yu. (2022). Post-war recovery of Ukrainian industry: challenges and policy features. Ekonomichnyj analiz – Economic analysis, 32: 2, 101-117. doi.org/10.35774/econa2022.02.101 [in Ukrainian].
8. Gryshova, I., Kyzym, M., Khaustova, V., Korneev, V., Kramarev, H. (2020).Assessment of the Industrial Structure and its Influence on Sustainable Economic Development and Quality of Life of the Population of Different World Countries. Sustainability, 12. Retrieved from www.mdpi.com/2071-1050/12/5/2072; doi.org/10.3390/su12052072
9. Salikhova, O.B. (2015). The renaissance of state intervention in industrial development: recent world trends and lessons for Ukraine. Ekon. Ukr. – Economy of Ukraine, 9, 19-38 [in Ukrainian].
10. Asselain, J.-Ch. (1985). Histoire économique: de la révolution industrielle à la première guerre mondiale. Presses de la Fondation nationale des sciences politiques [in French].
11. Friedrich Wilhelm I., König von Preußen (1713–1740). Regierungsantritt und innerer Ausbau des Staates. Retrieved from www.projekt-gutenberg.org/friedri2/gesbrand/chap006.html [in German].
12. Strauß, F.J., Pleticha, H. (1969). Politik aus erster hand: Grandfragen der politik in dokumenten und aussagen von zeitgenossen. Arena-Verlag [in German].
13. Der Große, Preuss Johann David Erdmann Friedrich (1832). Eine Lebensgeschichte. Mit einem Urkundenbuche. Berlin [in German].
14. From George Washington to the United States Senate and House of Representatives, 3 December 1793. To the United States Senate and House of Representatives. Retrieved from founders.archives.gov/documents/washington/05-04-02-0361
15. Alexander Hamilton's Report on the Subject of Manufactures: Made in His Capacity of Secretary of the Treasury, on the Fifth of December, 1791 (1827). United States, Department of the Treasury William Brown.
16. Annual report of the president of Stanford University. For the fifty-sixth academic year ending (1947, August 31). Stanford University Bulletin. Retrieved from stacks.stanford.edu/file/druid:xz038hp0017/1946-1947.pdf
17. The growth report: strategies for sustained growth and inclusive development. the commission on growth and development (2008). Washington, DC: World Bank.
18. A new global partnership: eradicate poverty and transform economies through sustainable development. Report of the high.level panel of eminent persons on the post-2015 development agenda (2013). NY: United Nations publications.
19. A new industrial policy for Europe. Retrieved from http:// www.wsj.com/articles/sb10001424127887324024004578170932984407010
20. Pianta, M. et al. (2020). The policy space for a novel industrial policy in europe. Industrial and corporate change, 29(3), 779-795. doi.org/10.1093/icc/dtz075
21. Updating The 2020 industrial strategy: towards a stronger single market for Europe's recovery. Retrieved from ec.europa.eu/commission/presscorner/detail/en/ip_21_1884
22. Stiglitz, J., Esteban, J., Lin, J. (2013). The Industrial Policy Revolution I: The Role of Government Beyond Ideology. NY: Palgrave Macmillan. doi.org/10.1057/9781137335173
23. Die Instruktion für das Generaldirektorium von 1722. Retrieved from www.hiko-berlin.de/fileadmin/redakteur/02_Projekte/100Quellen/Generaldirektorium-1722/Generaldirektorium-1722.pdf [in German].
24. Dr. Schubarth (Ed.). (1849). Verhandlungen des Vereins zur Beförderung des Gewerbfleißes in Preußen. Band 28. Berlin: Gedrudt auf Kosten des Vereins bei J.Petsch [in German].
25. Seog-Yun, Song (2021). Politische Parteien und Verbände in der Verfassungsrechtslehre der Weimarer Republik. Duncker & Humblot [in German].
26. Deutschlands Industrielle bündeln ihre Kräfte. Sie schließen sich zum \"Deutschen Industrierat" zusammen (1916, Oktober). Mehr weiß die Frankfurter Zeitung vom 27. Retrieved from www.faz.net/aktuell/politik/der-erste-weltkrieg/frankfurter-zeitung-27-10-1916-deutscher-industrierat-gegruendet-14278812.html [in German].
27. Gardner, Walter M. (1915). The British Coal-Tar Colour Industry; its Origin, Development and Decline. London: Williams and Norgate.
28. Salikhova, O.B. (2021). British dependence on German imports. Responses to the challenges of the World War I. Ìstor. nar. gospod. ekon. dumki Ukr.– History of economics and economic thought of Ukraine, 54, 37-74. doi.org/10.15407/ingedu2021.54.037 [in Ukrainian].
29. Geoffrey, J., Kirby, M. (1991). Competitiveness and the State: Government and Business in Twentieth-century Britain. Manchester University press.
30. Codes of fair competition as approved [June 16, 1933]-July 30, 1935: with supplemental codes, amendments, executive and administrative orders issued between these dates (2012 November 1). Ulan Press.
31. Schröder, H.-J. (1990). Marshallplan und westdeutscher Wiederaufstieg: Positionen, Kontroversen. Franz Steiner Verlag [in German].
32. Thibault Guillaume Quelle stratégie industrielle pour la France face à la mondialisation? (2008). Editions TECHNIP [in French].
33. Salikhova, O.B. (2012). High -tech industries: from the methodology of assessment to elevation in Ukraine. NAS of Ukraine, Institute for economics and forecasting. Kyiv [in Ukrainian].
34. Gaulle, J. (1994). L'avenir du plan et la place de la planification dans la société française. Rapport remis au Premier Ministre. Paris, La documentation française [in French].
35. Krehivskyi, O.V. (2022). State support for agricultural engineering development: economic and statistical aspect. Statystyka Ukrainy – Statistics of Ukraine, 1, 67-81. doi.org/10.31767/su.1(96)2022.01.07
36. Adelman, I. (Ed). (1969). Practical Approaches to Development Planning: Korea’ Second Five Year Plan. Baltimore: Johns Hopkins Press.
37. Saugstad, J.E. (1932). Shipping and Shipbuilding Subsidies: A Study of State Aid to the Shipping and Shipbuilding Industries in Various Countries of the World. U.S. Government Printing Office.
38. Selve, H.E. (1957). Strukturwandlungen der westdeutschen Maschinenindustrie in der Nachkriegszeit. Universität zu Köln [in German].
39. Jаkli, Z. (1990). Vom Marshallplan zum Kohlepfennig. Grundrisse der Subventionspolitik in der Bundesrepublik Deutschland 1948-1982. Opladen: Westdeutscher Verlag. doi.org/10.1007/978-3-322-97008-4 [in German].
40. Haber, L.F. (1971). The chemical industry, 1900-1930: international growth and technological change. Oxford: Clarendon press.
41. Salikhova, O.B., Honcharenko D.O. (2020).The policy of development of the pharmaceutical industry in Germany: lessons for Ukraine. Ekon. Ukr. – Economy of Ukraine, 10, 63-86. doi.org/10.15407/economyukr.2020.10.063 [in Ukrainian].
42. Salikhova, O.B. (2020).Industrial leadership of Germany: a view of the state’s role in the historical and economic aspect. Ìstor. nar. gospod. ekon. dumki Ukr.– History of economics and economic thought of Ukraine, 53, 189-221. doi.org/10.15407/ingedu2020.53.189 [in Ukrainian].
43. Gür, G. (2015). Die Notwendigkeit der Verstaatlichung der Eisenbahnen im Preußischen Reich durch das Eisenbahngesetz. GRIN Verlag [in German].
44. Dawson, W.H. (1904). Protection in Germany: A History of German Fiscal Policy During the Nineteenth Century. London: P.S. King.
45. Protecting chemical manufactures (1921, February 26). The Chemist and Druggist, XCIV: 2144, 77-78.
46. Key industries policy vindicated (1939, September 9). The Chemist and Druggist, CXXXI: 3109, 285-286.
47. Kohlmann, T. European leaders weigh nationalization options. Retrieved from dw.com/en/coronavirus-forces-eu-leaders-to-weigh-nationalization-options/a-52838689
48. Krehivskyi, O.V. Salikhova, O.B. (2022). Post-war industrial modernization: external and domestic resources. Zovnishnia torhivlia: ekonomika, finansy, pravo. Seriia: Ekonomichni nauky – Foreign trade: economy, finance, law. Series: Economic Sciences, 6, 101-121. doi.org/10.31617/3.2022(125)07 [in Ukrainian]/
49. Heyets, V.M. (2014). Institutional conditionality of innovative processes in Ukraine’s industrial development. Ekon. Ukr. – Economy of Ukraine, 12, 4-20 [in Ukrainian].
50. Salikhova, O.B., Krehivskyi, O.V. (2021). Targeted approach in the implementation of the state industrial policy of Ukraine in conditions of growing dependence on imports. Statystyka Ukrainy – Statistics of Ukraine, 2, 46-57. doi.org/10.31767/su.2(93)2021.02.05 [in Ukrainian]
51. Salikhova, O.B., Krehivskyi, O.V. (2018). A new mechanism of state support of technological innovation for industrial development. Statystyka Ukrainy – Statistics of Ukraine, 2, 30-35. doi.org/10.31767/su.2(81)2018.02.04 [in Ukrainian]
52."Ukroboronprom" will build an ammunition factory together with a NATO member country. Retrieved from defence-ua.com/news/ukroboronprom_zbuduje_bojepripasnij_zavod_spilno_z_krajinoju_chlenom_nato-8995.html [in Ukrainian].
53. Carr, Francis H. (1916, July 29). Synthetic Organic Drugs. Their Manufacture as Affected by the War. Abstract of a Paper read before a Congress of the Society of Chemical Industry on July 20, 1916. The Chemist and Druggist, IXXXVIII: 1905, 778-779.
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