Institutional responses to the challenges of the Russian agro-industrial complex

Russian State Agrarian University – Moscow Timiryazev Agricultural Academy, Moscow, Russia

^* Corresponding author: migunov@rgau-msha.ru

Abstract

The work is devoted to the complex issues of the influence of the theoretical prerequisites of institutional and neo-institutional economic theory on the sustainable development of the agricultural sector. The purpose of the work is to substantiate the scientific theoretical foundations of institutional and neo–institutional economic theories as the basis for regulating the agricultural sector. The methodological basis of the study is an integrated approach, which examines the challenges facing the Russian agro-industrial complex and possible institutional solutions to emerging barriers. The conceptual foundations of the institutional movement at the first stage of its development and their relation to state regulation are shown. The main provisions of the theory of dirigisme and new industrial society are shown. The scientific foundations of the neo-institutional school of economic theory are formulated. It is shown that the main institutions require maximum attention from the state to ensure their functioning, sustainable long-term development of the economic system, and the social well-being of the country’s citizens. The main functions of the state, its boundaries and effectiveness conditions in the new institutional theory are defined. The main institutional mechanisms for improving institutions in the Russian agricultural sector to ensure long-term sustainable economic growth are identified: market institutions; national institutes of economic development; state institutions of economic growth in the agricultural sector; institutes for reducing volatility. The presented model allows, unlike traditional approaches, to be based on the historical development of the institutional environment, which allows to assess the justification for changing institutions in agriculture; allows to assess the compatibility of ongoing institutional changes with the established institutional environment.