Reproduction structure of the national economy

The reproductive structure of the national economy reflects such a functional aspect as the ability of the economy to resume the reproduction process in the future on the basis of its own resources, i.e. on the basis of the accumulation fund. Therefore, it is important to take into account the natural-material and cost structure of the produced product, as well as the technological level of production.

The overall structure of the social product in 2002 compared to 2001 improved, as the share of intermediate consumption decreased by 2.7 percentage points. However, in general, the share of intermediate consumption remains too high, Table. 6.3. Nevertheless, the increase in the share of value added indicates that in the total mass the volume of value delivered allows creating the prerequisites for economic growth at an unchanging level.

Table 6.3 Resource requirements by component

General structure of the aggregate social product

of the Republic of Belarus in 2001 and 2002, %, [10, p.326, 328]

Years

Intermediate

consumption

Total value added (final product)

2001

57,6

42,4

2002

54,9

45,1

Changes

– 2,7

+ 2,7

The natural-material structure of the final product (CP) shows to what extent it is used for certain needs of society. The dynamics of the natural-material structure of the final product for 1990-2002 shows that, for example, the balance of import-export remains stably negative (in 2002 it was 4.4%). The share of the consumption fund is increasing
(from 71.2% in 1990 to 82.4% in 2002) and the share of gross accumulation decreases (from 26.6% to 22.0% for the same period), Table. 6.4. This suggests that the final product produced in the republic is more focused on meeting consumer needs and to a lesser extent on investment.

Table 6.4 Resource requirements by component

Natural-material structure of the final product

of the Republic of Belarus, [10, p.332], (%)

Years

1990

1995

2000

2002

Final product in market prices

100,0

100,0

100,0

100,0

including:

final consumption expenditure, total

71,2

79,6

77,5

82,4

Household

44,5

56,0

55,7

59,1

state institutions

23,9

20,5

19,7

21,1

of which

for individual goods and services

5,9

11,2

13,2

13,3

for collective services

18,0

9,3

6,5

7,8

non-profit organizations serving households

2,8

3,1

2,1

2,2

gross accumulations

26,6

24,8

25,7

22,0

private export of goods and services

2,2

– 4,4

– 3,2

– 4,4

The share of the final product purchased by households to meet their own needs is also growing. At the same time, the share of the final product, which was provided to citizens free of charge, is decreasing. Along with this, the share of benefits provided free of charge (at the expense of the state budget) to certain categories of employees of state institutions is increasing, which, of course, is not consistent with the principle of social justice. This article also reduces the investment opportunities of the economy.

Analysis of the dynamics of fixed assets in the sectors of the national economy shows that in relation to 1995 (the year of the greatest decline in the field of 1990) in the industries producing goods, they decreased by 2.5 percentage points, which blurs the possibility of increasing production in the future, Table. 6.5.

Table 6.5 Resource requirements by component

Indices of physical volume of fixed assets by industry

national economy of the Republic of Belarus (in % by 1995),

[10, p.302]

Industry

Years

2000s

2002

All fixed assets

101,3

102,0

including:

Fixed assets of industries producing goods

98,9

97,5

of which:

industry

100,7

99,5

agriculture

96,2

93,8

Fixed assets of service industries

104,2

107,2

of which:

transport and communications

105,0

107,7

trade, catering and logistics

102,5

100,9

Housing

105,6

109,3

The dynamics of the coefficients of renewal of fixed assets in the national economy is alarming, since the share of obsolete equipment is growing too much in the industries due to lack of funds, Table. 6.6.

Table 6.6 Resource requirements by component

Coefficients of renewal and disposal of fixed assets

in the Republic of Belarus, [10, p.303]

Years

1990

1995

2000

2002

Fixed asset renewal rate (excluding livestock) as a percentage of year-end availability

4,2

2,5

3,3

4,6

Disposal rate of fixed assets (excluding livestock) as a percentage of availability at the beginning of the year

1,9

3,0

2,8

2,8

The degree of depreciation of fixed assets (including livestock) at the beginning of the year as a percentage

33,3

38,8

49,2

49,3

From all of the above, it follows that the existing reproductive structure of the social product signals  a disadvantaged situation in the real sector. It seems to us that it is necessary to save on some of the final consumption items covered by the budget and to allocate more funds for the renewal of equipment, especially in the production of goods.

When assessing the reproductive capabilities of the national economy, the spread of new technologies (technological modes) should also be taken into account. Experts distinguish five such ways of life that mankind has applied and is applying:

The first: beginning in 1790 with the use in the production of coal, steam, new technologies in the textile industry; Second: beginning in 1840 in connection with the development of railway transport and the mechanization of production; Third: beginning in 1890 in connection with the introduction of electricity, internal combustion engines, chemical technologies into production; Fourth: beginning in 1940 in connection with the introduction of electronics; Fifth: the beginning of the 70s. XX century. in connection with the introduction of information technology, microelectronics, biotechnology.

It is assumed that the sixth technological order will be associated with biocompatible technologies.

The Republic of Belarus, in accordance with its natural and other conditions, as well as, accepting the challenges of modern development, should focus on the further development of the fifth technological order and move to the sixth. This should be the basis for the competitiveness of its products in the foreign market. So far, the share of high-tech products in its exports is only 4%, which is extremely insufficient.