IDEAS home Printed from https://ideas.repec.org/a/nea/journl/y2016i29p160-167.html
   My bibliography  Save this article

Overcoming Investment Pause in the Russian Economy

Author

Listed:
  • Buklemishev, O.

    (Lomonosov Moscow State University, Moscow, Russia)

Abstract

Investment pause represents the central factor of the current crisis in the Russian economy. The key factor for restoration of economic growth is to overcome this pause. The paper critically discusses various explanations of the slowdown of investment. It is reckoned that the negative expectations of the business community and deficit of finance constitute the main obstacles for overcoming the investment pause. The paper concludes with proposing systemic measures of economic policy to deal with the investment crisis, aimed at re-establishing trust and stimulating investment activity on this basis.

Suggested Citation

  • Buklemishev, O., 2016. "Overcoming Investment Pause in the Russian Economy," Journal of the New Economic Association, New Economic Association, vol. 29(1), pages 160-167.
  • Handle: RePEc:nea:journl:y:2016:i:29:p:160-167
    as

    Download full text from publisher

    File URL: http://www.econorus.org/repec/journl/2016-29-160-167r.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. A. Ulyukaev & V. Mau., 2015. "From Economic Crisis to Economic Growth, or How to Prevent the Crisis from Turning into Stagnation," VOPROSY ECONOMIKI, N.P. Redaktsiya zhurnala "Voprosy Economiki", vol. 4.
    2. Sinelnikov-Murylev, Sergei (Синельников-Мурылев, Сергей) & Drobyshevskiy, Sergei (Дробышевский, Сергей) & Kazakova, Maria (Казакова, Мария), 2014. "Decomposition of the russian GDP growth rate in 1999-2014 [Декомпозиция Темпов Роста Ввп России В 1999—2014 Годах]," Ekonomicheskaya Politika / Economic Policy, Russian Presidential Academy of National Economy and Public Administration, vol. 5, pages 7-37, October.
    3. Kudrin, A. & Gurvich, E., 2015. "Government Stimulus or Economic Incentives?," Journal of the New Economic Association, New Economic Association, vol. 26(2), pages 179-186.
    4. A. Kudrin & E. Gurvich., 2014. "A New Growth Model for the Russian Economy," VOPROSY ECONOMIKI, N.P. Redaktsiya zhurnala "Voprosy Economiki", vol. 12.
    5. N. Zubarevich., 2015. "Regional Dimension of the New Russian Crisis," VOPROSY ECONOMIKI, N.P. Redaktsiya zhurnala "Voprosy Economiki", vol. 4.
    6. Vedev, Alexey & Kosarev, Andrey, 2012. "Quantitative Assessments of Institutional Improvements’ Impact on Economic Growth in Russia," Ekonomicheskaya Politika / Economic Policy, Russian Presidential Academy of National Economy and Public Administration, pages 50-65, February.
    7. Avinash K. Dixit & Robert S. Pindyck, 1994. "Investment under Uncertainty," Economics Books, Princeton University Press, edition 1, number 5474.
    8. Sergey Sinelnikov-Murylev & Sergey Drobyshevsky & Maria Kazakova & Michael Alexeev, 2016. "Decomposition of Russia's GDP Growth Rates," Research Paper Series, Gaidar Institute for Economic Policy, issue 167P, pages 123-123.
    9. Sergey Drobyshevsky & Maria Kazakova, 2014. "Decomposition Of Russia’S Gdp Growth In 1999-2014," Russian Economic Development, Gaidar Institute for Economic Policy, issue 11, pages 63-66, November.
    10. Atsuyoshi Morozumi & Francisco José Veiga, 2014. "Public spending and growth: the role of institutions," NIPE Working Papers 11/2014, NIPE - Universidade do Minho.
    11. E. Gurvich & I. Prilepskiy., 2016. "The impact of financial sanctions on the Russian economy," VOPROSY ECONOMIKI, N.P. Redaktsiya zhurnala "Voprosy Economiki", vol. 1.
    12. O. Berezinskaya & A. Vedev., 2014. "Investments in the Russian Economy: Their Potential and Activation Directions," VOPROSY ECONOMIKI, N.P. Redaktsiya zhurnala "Voprosy Economiki", vol. 4.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Lyubimov, I. & Gvozdeva, M. & Kazakova, M. & Nesterova, K., 2017. "Economic Complexity of Russian Regions and their Potential to Diversify," Journal of the New Economic Association, New Economic Association, vol. 34(2), pages 94-122.
    2. Galkin, Andrei S. & Gurov, Ilya N. & Studnikov, Sergey S., 2020. "Accounting mechanism for information signals about the imposition of sanctions in valuation of a company," Economic Consultant, Roman I. Ostapenko, vol. 29(1), pages 57-64.
    3. Leonid Goloskokov V. & Л. Голоскоков В., 2017. "О минимизации рисков снижения инвестиционной активности при ограниченных финансовых ресурсах // On the Minimization of Investment Reduction Risks in the Case of Limited Financial Resources," Экономика. Налоги. Право // Economics, taxes & law, ФГОБУ "Финансовый университет при Правительстве Российской Федерации" // Financial University under The Government of Russian Federation, vol. 10(6), pages 62-68.
    4. Stepanova, A. & Podukhovich, D., 2023. "CEO decision-making horizon and R&D investments. Evidence from Russia," Journal of the New Economic Association, New Economic Association, vol. 59(2), pages 85-118.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mau, Vladimir & Ulyukaev, Alexey, 2015. "Global crisis and challenges for Russian economic development," Russian Journal of Economics, Elsevier, vol. 1(1), pages 4-29.
    2. Mau, Vladimir, 2016. "Anti-crisis measures or structural reforms: Russian economic policy in 2015," Russian Journal of Economics, Elsevier, vol. 2(1), pages 1-22.
    3. Zemtsov, S. & Smelov, Y., 2018. "Factors of Regional Development in Russia: Geography, Human Capital and Regional Policies," Journal of the New Economic Association, New Economic Association, vol. 40(4), pages 84-108.
    4. Vladimir Mau, 2018. "Russian economic policy: Challenges of growth," Russian Journal of Economics, ARPHA Platform, vol. 4(2), pages 87-107, June.
    5. Fokin, Nikita, 2021. "The importance of modeling structural breaks in forecasting Russian GDP," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 63, pages 5-29.
    6. Salnikov, Vladimir & Galimov, Dmitry & Mikheeva, Olga & Gnidchenko, Andrey & Rybalka, Alexey, 2017. "Russian manufacturing production capacity: Primary trends and structural characteristics," Russian Journal of Economics, Elsevier, vol. 3(3), pages 240-262.
    7. Sergey Drobyshevsky & Georgy Idrisov & Andrey Kaukin & Pavel Pavlov & Sergey Sinelnikov-Murylev, 2018. "Decomposition of growth rates for the Russian economy," Russian Journal of Economics, ARPHA Platform, vol. 4(4), pages 305-327, December.
    8. Lyubimov, I. & Gvozdeva, M. & Kazakova, M. & Nesterova, K., 2017. "Economic Complexity of Russian Regions and their Potential to Diversify," Journal of the New Economic Association, New Economic Association, vol. 34(2), pages 94-122.
    9. Gurvich, Evsey, 2016. "Institutional constraints and economic development," Russian Journal of Economics, Elsevier, vol. 2(4), pages 349-374.
    10. Stepanova, A. & Podukhovich, D., 2023. "CEO decision-making horizon and R&D investments. Evidence from Russia," Journal of the New Economic Association, New Economic Association, vol. 59(2), pages 85-118.
    11. Berezinskaya, Olga, 2017. "Investment drought in the Russian economy: Structural characteristics and turnaround perspectives," Russian Journal of Economics, Elsevier, vol. 3(1), pages 71-82.
    12. Andrey Kozitsyn & Margarita Dudinskaya, 2015. "Competitiveness and Economic Security — Priority Problems of the Region’s Metallurgical Complex and its Leaders in the Conditions Of Instability," Economy of region, Centre for Economic Security, Institute of Economics of Ural Branch of Russian Academy of Sciences, vol. 1(3), pages 204-215.
    13. Oscar Gutiérrez & Francisco Ruiz-Aliseda, 2011. "Real options with unknown-date events," Annals of Finance, Springer, vol. 7(2), pages 171-198, May.
    14. Arve, Malin & Zwart, Gijsbert, 2023. "Optimal procurement and investment in new technologies under uncertainty," Journal of Economic Dynamics and Control, Elsevier, vol. 147(C).
    15. Marks, Phillipa & Marks, Brian, 2007. "Spectrum Allocation, Spectrum Commons and Public Goods: the Role of the Market," MPRA Paper 6785, University Library of Munich, Germany.
    16. Pierre‐Richard Agénor, 2004. "Macroeconomic Adjustment and the Poor: Analytical Issues and Cross‐Country Evidence," Journal of Economic Surveys, Wiley Blackwell, vol. 18(3), pages 351-408, July.
    17. Atal, Vidya & Bar, Talia & Gordon, Sidartha, 2016. "Project selection: Commitment and competition," Games and Economic Behavior, Elsevier, vol. 96(C), pages 30-48.
    18. Prelipcean, Gabriela & Boscoianu, Mircea, 2019. "Aspect Regarding the Design of Active Strategies for Venture Capital Financing – the Flexible Adjustment for Romania as a Frontier Capital Market," Proceedings of the ENTRENOVA - ENTerprise REsearch InNOVAtion Conference (2019), Rovinj, Croatia, in: Proceedings of the ENTRENOVA - ENTerprise REsearch InNOVAtion Conference, Rovinj, Croatia, 12-14 September 2019, pages 187-196, IRENET - Society for Advancing Innovation and Research in Economy, Zagreb.
    19. Waters, James, 2015. "Optimal design and consequences of financial disclosure regulation: a real options approach," MPRA Paper 63369, University Library of Munich, Germany.
    20. Golub, Alexander (Голуб, Александр), 2018. "Methodological Issues of Assessing Investment Risks in Projects Weakening the Dependence of the Russian Economy on Natural Resources and Providing a Transition to Low-Carbon Development [Методологи," Working Papers 071802, Russian Presidential Academy of National Economy and Public Administration.

    More about this item

    Keywords

    investment pause; sanctions; uncertainty; state stimulus; economic policy; expectations;
    All these keywords.

    JEL classification:

    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • E61 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Policy Objectives; Policy Designs and Consistency; Policy Coordination

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nea:journl:y:2016:i:29:p:160-167. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Alexey Tcharykov (email available below). General contact details of provider: https://edirc.repec.org/data/nearuea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.