IMPORT SUBSTITUTION AND CENTRIPETAL TENDENCIES IN DEMOGRAPHY

Abstract

In the article it is shown that the concept of import substitution, which is realized nowadays, has exhausted itself, as it is based mainly on the low labour price. At the same time Russia's science and technology dependence on foreign partners is increasing. Too low pay levels is a reason of low replacement of the population and excludes accumulation of human capital. The authors suggest to move from import substitution of hands to import substitution of brains. It means to move to development and implementation of domestic innovative production. As one of the incentives the substantial increase of the minimum wage and R&D funding is offered.