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Financing Innovation Development in the Context of Foreign Experience and Domestic Practice

 

Abstract

The importance of innovation development is determined by the strategic role that true innovations play in the development of the state and the formation of a healthy, competitive economy. The organization of massive industrial production—which applies advanced technological achievements and science-intensive knowledge to form an infrastructure for innovation—should be a key component of the government’s strategic policy to develop the national economy. In Russia, the infrastructure for innovation is less developed than other industrialized countries. This article considers the consequences of this underdevelopment, and proposes several ways of financing basic and applied research on the basis of foreign precedent and domestic practice.

This article is the republished version of:
Financing Innovation Development in the Context of Foreign Experience and Domestic Practice

Notes

1. A. Dynkin, V. Kondrat’ev, et al., Konkurentosposobnost’ v global’noi ekonomike (Moscow: Nauka, 2013).

2. “Golodets nazvala bednost’ rossiian unikal’noi,” Moskovskii Komsomolets, March 14, 2017.

3. In general, in 2000–2015 the volume of installed Russian production capacities increased in physical terms only by a third. At the same time, the share of the oldest capacities in use before 2000 was slightly more than a fourth at the end of 2015. But the average age of the introduced capacities in the manufacturing industry was twelve years, and that of the utilized capacities was 10.5 years; 50 percent of them are already unsuitable for the production of competitive products, which have been retired even in the Eurasian Economic Union and the Commonwealth of Independent States.

4. From the English puzzle; to puzzle.

5. Stenographic transcript from the Council for Strategic Development and Priority Projects meeting, March 14, 2017.

6. Ibid.

7. Ibid.

8. FMCG: fast moving consumer goods.

9. A.N. Tsatsulin and B.A. Tsatsulin, “Regional’nye mediko-farmatsevticheskie klastery apriori dolzhny byt’ innovatsionnymi,” Klasternaia ekonomika i promyshlennaia politika: teoriia i instrumentarii: kollektivnaia monografiia, ed. A.V. Babkin (St. Peterburg: Izdatel’stvo SPbGPU im. Petra Velikogo, 2015), pp. 228–88.

10. N.I. Valeakhmetov and A.N. Tsatsulin, Formirovanie innovatsionnoi strategii razvitiia predprinimatel’skoi struktury klasternogo tipa v regione: monografiia, ed. A.N. Tsatsulin (St. Peterburg: Asterion, 2009).

11. Bayh-Dole Act Amendment (Patent and Trademark Law Amendments Act; Public Law: 96-517; December 12, 1980). In 1980, Congress passed control over most of the research projects carried out through federal funding to research institutions as a way to stimulate science and technology development, and, as indicated in the summary of the legislative act, according to which these functions should be transferred to scientific research institutions. Stevenson-Wydler Technology Innovation Act of 1980. Public Law 96-480.

12. World Ranking by level of expenditure on R&D.

13. A.A. Davydov, Innovatsionnyi potentsial Rossii: nastoiashchee i budushchee (Institut sotsiologii RAN: Global Innovation Index, 2015).

14. Indikatory nauki: 2014. Statisticheskii sbornik (Moscow: NIU Vysshaia shkola ekonomiki, 2014).

15. Itogovyi reiting innovatsionnoi aktivnosti v Rossii v 2014 g. Association of Innovative Regions of Russia.

16. World ranking by level of expenditure on R&D.

17. A.N. Tsatsulin and A.V. Babkin, “Measuring the Structural Effects of Cost Inflation in Industry” (Nauchno-tekhnicheskie vedomosti Sankt-Peterburgskogo gosudarstvennogo politekhnicheskogo universiteta: Ekonomicheskie nauki), vol. 251, no. 5 (2016), pp. 104–16.

18. M.V. Kemaeva, Innovatsionnoe razvitie real’nogo sektora, dissertation for candidate of economic sciences (N. Novgorod, 2014).

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