An Analysis On The Russian Advancing Of Industrial Structure In Transition Of Economy

At the end of 1980s and the beginning of 1990s, the upheaval happened to the Eastern Europe --- the Soviet Union disintegrated. Then some socialist states that used to carry out planned economy started their economic transitions. From then on, it became very important for the economics to pay much attention to the topic on transforming the economic system. The economist Roland defined three key researching fields for the economics of transition, including: political economy of transition --- political restriction and reforming strategy, the dynamic analysis of the massive department redistribution --- the change for the distribution of the resources, the change for the administrative structures of the enterprises --- the change of the administrative structures. The efficiency for the distribution of resources determines directly the situation of the economic development. Therefore, according the changing in different times this article starts from the regulation of the industrial structures in Russia and explores the Russian transforming process deeply by combining the regulation and demonstration. It not only discusses the common laws of the transition to the market economy for different countries, but also provides the valuable theoretical basis for our country to improve the industrial policies and measures in the future.This article is divided into five chapters. The introduction presents the practical meanings of the topic, the background knowledge, the structure of the article, the main idea and the innovation of the article. The body, based on the transforming process in Russia, analyses the industrial structure under the traditional system of the Soviet Union and the present situation of the industrial structure in today's Russia. Finally it provides the prospect of the modulations for the industrial structure in Russia. Therefore, it makes the conclusion that it should combine the adapting modulations of the industrial structure in the short term with strategic regulations of the countries in the long term.Chapter one first presents the background knowledge for the transitions of the economy in the 1990s of the 20th century. It starts from the dynamic relationships between the transition and modulation of the industrial structures. It states the existence of the interactivity between the transition of the economy and the modulation of the industrial structure: 1. the modulation of the industrial structures is the result of the transition of the economy; 2. the transition of economy itself is promoted by the unceasing modulation and upgrade of the industrial structure. This research plays an active role for the transforming countries to develop theoretical foundations.Chapter two makes analysis on the traditionally industrial structure in the Soviet Union. It states that the"overtaking"policies must appear in the new-born Soviet Union because of the bad internal and external environments. Therefore, the policies of Stalin prior to develop the heavy industry became the guiding ideology of the First Five Years'plan in the Soviet Union. In order to realize the industrialization, the state continued to enlarge the investment on the industry, particularly on the heavy industry. Relying on the unbalancing investment not concerned the costs, the heavy industry and the arms industry developed at an unprecedented speed. However, the assets used to develop heavy industry came from"the invasion"of the investment on agriculture and light industry, came from the deprivation of society consumptions. The Soviet Union left to the Russia a malformed economic structure including underdeveloped industrial structure, the unbalance between heavy and light industry, improper imports and exports, highly developed arms industry.Chapter three stresses the modulation of the Russia on the industrial structures. By the analysis on the proportion of the three greatest industries in GDP and the distribution of employment in the three greatest industries, it can be concluded that the industrial structures tend to be rational, but the problems of the economic structure still exist. In Russia the main measures on modulating the economic structures included: the policies of turning soldiers to people, privation movement, and reformation on the land-ownerships in the countryside and so on. By the continuous improvement, in Russia, the proportions of the three greatest industries are changing actively, that is, according to the production value and employment percentage, the tertiary industry is becoming the principal part in the economic structure instead of the primary industry and the secondary industry. We also need to notice that in the transition of the Russian economy, the superiority of the industrial structure improved greatly, but the rationalization of it went backwards. The modulation of the industrial structure did not achieve the prospective effects. Therefore, in order to get the practical rationalization and efficiency of the industrial structure, to finish the transition from the industrial society to the post-industrial society, the Russia still needs to make great effort.Chapter four presents the prospects on the transition of the economy and the modulation of the industrial structure in Russia. From 1999, the Russian economy keeps relatively steady and high-speed increase. In the process of the economy increasing, the industrial structure has taken active changes. Service industry develops rapidly and the internal structure between the industry and the service industry improves in some way. By the dynamic changes of the investments, it makes analysis on the tendency of the industrial structure. The investments on the infrastructures and processing industries improve a lot. But the investments on the field of fuel resources exploitation increase not as much as before. The investments on the field of high and new-technology industries increase steadily. The investments promote the industrial structure of Russia to develop towards high class and rationalization. At the same time, due to the importance of the resources industry in the national economy, the industrial policies that are dominant by the resources industry play an important role in the development for the Russia today.Chapter five provides brief analysis on the transition room of the industrial structure in Russia, pointing out that the adaptation of the industrial structure in the short term to the national strategy in the long term. As for the Russia, the development of the fuel resources industry has pushed the short-term development of economy. However, if relying on the fuel resources industry to support the economy increasing for along time, it will bring troubles to the national economy of the country. It will play a key role in the thriving economy of Russia by developing the industries of knowledge innovation and technology intensive. Therefore, we can make use of the policies on the technology innovation to guide and adjust the industrial structure and we should pay much attention to the development of the processing manufacturing business, particularly, the development of the high-tech equipment and the deep-processing sectors. As for China, based on the national situation, we should try to develop the new industries of high added value and high efficiency. We should strengthen the technology content for the superior industries, innovate the technology of the traditional labor intensive industries and realize the updating and the upgrading of the superior industrial structure itself. At the same time, we should make good use of the industrial complementarities and adjust the trading policies towards Russia in order to make sure the continuous and steady increasing of economy.