Governmental Regulation of Territorial Development: the Arctic Privileges and Preferences

Abstract

The study assesses the existing and developed regulatory acts governing the socio-economic development of the Russian Arctic. Benefits and preferences are analyzed with the identification of support objects: population and economic activities. It is concluded that the compensatory function of the existing “northern” system of benefits and preferences to the population is insufficient, which is confirmed by the growing demographic problems and the shortage of labour resources. In relation to economic activities, it is found that the “Arctic” factor is absent. The governmental support to economic development is focused on identification of special areas (single-industry towns, new development regions, etc.) or certain types of economic activities. The main tool of the governmental support is the state programs, the major lack of which is strict financial dependency of their implementation on budgets of various levels, especially the federal one. Possibilities of the regional authorities are limited. Therefore the system of the “Arctic privileges” is oriented to the precision of the problems’ solutions and is of time limited, unstable nature. For achieving balanced development of the Russian Arctic regions when developing the system of privileges and preferences it is recommended to take into consideration specificities of the regions.