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  • Utilization of foreign economic policy approaches used in regulation of Russian automobile industry to develop other economic sectors (aircraft industry example)

Utilization of foreign economic policy approaches used in regulation of Russian automobile industry to develop other economic sectors (aircraft industry example)

Student: Mnaczakanova Varvara

Supervisor: Olga Klochko

Faculty: Faculty of World Economy and International Affairs

Educational Programme: Bachelor

Year of Graduation: 2014

This paper concerns the utilization of foreign economic policy approaches used in regulation of Russian automobile industry to develop other economic sectors (aircraft industry example) (in particular it includes the production of passenger cars and civil aircraft). These industries refer to the same sector of economy but also have some generalities in the main tendencies of their development. Nevertheless, active foreign economic policy that is implemented in the automobile industry is not conducted in the aircraft industry in the same way. Thus the main purpose of this paper is to argue the possibility of the utilization of foreign economic policy approaches used in regulation of Russian automobile industry to develop the aircraft one. According to the purpose this paper has following goals: to describe the theory and the main peculiarities of Russian foreign economic policy, to analyze foreign-economic activity of Russian automobile and aircraft industries and also to analyze the government regulation of these industries in order to reveal the main instruments that are effective within the scope of automobile industry development and could be used to develop the aircraft industry. As the result, the foreign economic policy concerning Russian automobile industry is accurate and clear and pointed at the mobilization of foreign investments and at the support of the domestic component producers. On the other hand, the policy conducted in point of the aircraft industry is at the crucial point, switch to the establishment of favorable condition to the development instead of the financial support. As the recommendation it is proposed to implement the foreign economic policy approaches used in regulation of Russian automobile industry to develop the aircraft one. In particular, it concerns the direction of the policy: mobilization of foreign investments, support of the domestic projects and encouragement of the domestic component producers in order to help them to enter the world market. This recommendations take into account both positive and negative results of the used approaches, thus allow to reveal the consequences.

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