Abel Gezevich Aganbegyan: biography. Academician Aganbegyan called the main problem of the Russian economy “this is a mockery of people!”
“In 25 years, immeasurably more could have been done”
Academician of the Russian Academy of Sciences, ex-rector of the Academy of National Economy under the Government of the Russian Federation, and now head of the department of RANEPA Abel Aganbegyan recently celebrated his 85th birthday. He was an economic adviser to Mikhail Gorbachev, his name is widely known in scientific circles, his lectures were listened to by students of the world's leading universities, and the Nobel Committee approached him with a request to recommend candidates for the prize. State leaders listened to his opinion, and few people know that it was with his participation that in the early 1990s, Yegor Gaidar’s team came to govern the state, whose market reforms changed the Russian economy beyond recognition. In an interview with MK, Abel Gezevich spoke about the myths around his personality, about Russia’s market path and how much money the country needs for economic growth.
Despite his 85-year-old age, Academician of the Russian Academy of Sciences Abel Aganbegyan is actively engaged in scientific and teaching activities.
Are you satisfied with the state of the Russian economy as it celebrates your anniversary? The crisis seems to have passed, judging by the assurances of the authorities. Or is that not true?
Let's go back a little. The 2008–2009 crisis in Russia was the deepest of the G20 countries. Our GDP volume has decreased the most, the stock market has collapsed 4 times, budget revenues and industry have decreased, unemployment has risen to a record level, and investments have decreased significantly. Then there was a recovery, and in 2010–2012 we exceeded almost all pre-crisis indicators. However, already in 2013, stagnation began, which continued until 2014, and only then, after the introduction of sanctions and the fall in oil prices, a recession began in 2015–2016, that is, a crisis, a decline. Since the fourth quarter of 2016, it began to be overcome, and now we can state that the period of recession has passed, and from it we have again moved to stagnation - stagnation, depression, fluctuation around zero, in which we will be in 2017 and, apparently , 2018. Worst of all, living standards plummeted during the recession. This has never happened in our country: real incomes decreased by 13%, trade turnover and final consumption of households - by 14%, which is 3 times more than the decrease in production volumes in the country.
- To whom do we owe this crisis and subsequent stagnation - the geopolitical situation, the collapse of oil prices?
It must be said that we created the stagnation in 2013 with our own hands, having received it as a result of incorrect economic policies: this was a year and a half before the annexation of Crimea, sanctions, and lower oil prices. The fact is that we have retained the old economic policy, but the conditions have changed. At the same time, President Vladimir Putin pointed out this problem at the first meeting of the Presidium of the Economic Council in 2014, when he said that the old sources of economic growth have exhausted themselves - if we rely on them, then we will face zero growth. Until now, we have not mobilized new sources, and being dependent on oil prices, we received a serious blow when Saudi Arabia and OPEC initiated a decline in commodity prices in order to confront the United States with its shale production. Having suffered from measures that were not even aimed at us, we nevertheless overcame the recession, but not thanks to the actions of the government, the Ministry of Economic Development or the Central Bank, but also thanks to oil: it rose in price after the “freezing” of its production in OPEC countries and Russia from $39 to $57 per barrel of Urals brand, increasing the volume of Russian exports by almost 30% and ensuring GDP growth of 1.5% in the first half of 2017. The record reduction in inflation - from 15% in 2015 to 4% - today also cannot be considered the merit of the Central Bank, as many people think. Inflation has decreased due to a decrease in domestic demand, and not due to the actions of the regulator with its tight monetary policy, which I consider wrong. When real incomes, trade turnover, and final consumption have decreased by 10–15%, it is quite natural that there is no demand and consumer prices are not rising.
- Of all the problems of the Russian economy, what did you name, which do you consider the key one?
The main problem is the fall in investment, which began in 2013. We have old fixed capital, a worn-out material and technical base of enterprises, which is updated only by 0.7% annually, the remaining 99.3% simply grow old from year to year. Approximately a quarter of all equipment operates beyond its depreciation period, and the average life of machinery and equipment in Russia is 14 years - twice as long as in developed countries. In such conditions, it is becoming increasingly difficult to produce high-quality, competitive products. Therefore, in Russia, economic growth, more than in any other country, is associated with investments that need to be made in production and human capital.
Abel Aganbegyan (left): “It is a myth that I played a crucial role in attracting Yegor Gaidar’s team (right) to govern the country, but I created the organizational conditions for its work.”
Market reform has been carried out in Russia for over 25 years - since the times of the “Gaidar team”. You, who served as Gorbachev’s adviser and generally had great influence at the turn of the 1980s and 1990s, are spoken of as a person who played a crucial role in attracting this team to govern the state. Is this true or a myth?
Myth is the right word. We are sitting in the office (points to the portrait of Yegor Gaidar. - I.D.), which Yegor chose when at the end of 1989 I invited him to the Academy of National Economy. He wanted to create an Economic Policy Research Institute, and I helped organize this institute at the academy. My personal interest was that as rector I needed to update the teaching staff. The average age of professors was more than 60 years, and at the academy we had to start teaching market courses - marketing, corporate finance, international business and others, create programs based on foreign literature, and of all the professors, only one knew English well... I understood that we needed youth, so I looked for people around whom they would mobilize; one of them was Yegor Gaidar in Moscow, the other was Anatoly Chubais in Leningrad. Gaidar brought 66 people with him to his institute at the academy and began developing ways for our country to transition to a market. This is true.
But the fact that I played some role in attracting this team to govern the country is a clear exaggeration. As far as I know, Gaidar met Boris Yeltsin thanks to Gennady Burbulis, with whom he communicated. Boris Nikolaevich liked Yegor Timurovich, and he could not help but like him: he was a great smart guy, an outstanding economist, erudite, analyst, and theorist. He loved books and science, but did not visit factories, farms, or see how the real sector worked. This was his strength and weakness at the same time. He assembled a team of 30-year-old scientists like him; they traveled to countries of the former socialist camp, for example to Poland, which made a successful transition to a market, and studied foreign experience. Scientifically, Yegor Gaidar was superior to me; I had no influence on his scientific research, but I created organizational conditions for his work, financed his institute from the academy, and housed his employees. I remember what I said to the business executives and employees of the academy: “If I ask you and you don’t do something, I will reprimand you, but if Yegor Timurovich asks and you don’t do it, I will fire you.” Because something new cannot arise unless it is supported.
From the standpoint of today, how do you assess the work of Yegor Gaidar at the head of the government, carrying out reforms?
Very high. He did the most important thing - he saved Russia, which was falling apart before our eyes. Gaidar’s government was called the “kamikaze government,” because there were no people willing to rule the country at that time, it was a deadly occupation... But Yegor was a very brave man, for all his gentleness and intelligence. He made a lot of mistakes, as we understand in hindsight, but he was in government for only 11 months, so blaming him for what happened in the country over the next 25 years is ridiculous. By the way, the biggest collapse of the economy occurred not in 1992, under Yegor Gaidar, who was removed from his post by populists from the Supreme Council, but in 1993, under Viktor Chernomyrdin. Then Boris Yeltsin turned again to Gaidar, and he again sorted everything out, and then again became unnecessary, as often happens.
- Could you name the main achievements and failures of Russia during this 25-year market path?
The main achievement is that there can be no return to the old ways: we have private property, goods in stores, we can travel abroad... But over these 25 years, immeasurably more could have been done. During Russia's transition to a market economy, the country faced a transformation crisis, the lowest point of which occurred in 1998–1999. If we compare it with the crisis year of 1989, gross domestic product (GDP) then decreased by 1.8 times, industry by 2.2 times, investment in fixed capital by almost 5 times, and real income by 1.9 times. A serious problem was the depopulation of the population, and the mortality rate exceeded the birth rate in some years by 950 thousand people!
After this, a rise began, but not the entire population benefited from it, but mainly the rich. As a result, we got a huge difference between the lower and upper strata of the population in terms of welfare. If in Soviet times the richest 10% lived 3 times better than the poorest 10%, now it is 15.7 times better. Meanwhile, in Western Europe this difference is 8–10 times, in social democratic countries - 6–8 times, and in Japan - 5 times.
Such a dramatic income gap is a big failure. In fact, after the 1990s, we finished reforming, and we never switched to a market economy. We do not have capital funds and “long-term” money, problems with the labor market, land, and tax system. Russia today is a state oligarchic transitional mixed economy, where 70% of the gross product is produced on the basis of state property.
Let's talk about science. Is Russian economic thought valued in the world? Do any Russians have a chance in the foreseeable future of winning the Nobel Prize in Economics - or will the Soviet-era achievement of your teacher, Leonid Kantorovich, remain the only precedent?
In my opinion, our economic science in the world ranking is now below average. We do not have outstanding organizations like the National Bureau of Economic Research in the United States. Although we are on par with world leaders in international economic research and forecasting. For example, the Institute of World Economy and International Relations (IMEMO) of the Russian Academy of Sciences is one of three centers in the world that makes global economic forecasts.
As for the Nobel Prize, besides Kantorovich there were three candidates from Russia who, in my opinion, deserved it more than the laureates of recent years. The first is Valentin Novozhilov: he developed the problem of optimal solutions in economics. His works are highly valued in the world. The second is Yegor Gaidar: his development of ways of transition from socialism to capitalism, that is, from an administrative-planning system to a market economy, fully deserved a Nobel Prize. The third could be awarded to IMEMO for their world forecast. However, now the Nobel Prize is sometimes awarded to people whom 90% of major scientists have not heard of, no one studies from their monographs, and they do not open new directions in science.
Birthday October 08, 1932
Soviet and Russian scientist-economist of Armenian origin, Doctor of Economics
During the years of perestroika, he was an adviser to the General Secretary of the CPSU Central Committee M. S. Gorbachev on economic issues.
Education and scientific career
Graduated from the Moscow State Economic Institute (1955). Member of the CPSU (since 1956). Worked in the State Committee of the Council of Ministers of the USSR on labor and wages (1956-1961). In 1961, he became an employee of the Institute of Economics and Organization of Industrial Production of the Siberian Branch of the Academy of Sciences (IEOPP SB USSR Academy of Sciences), two years later received the degree of Doctor of Economic Sciences, another year - the title of corresponding member of the USSR Academy of Sciences, and in 1964 at the age of 32 years became the director of the IEOPP SB RAS and remained in this position until 1984. Then academician-secretary of the Department of Economics of the USSR Academy of Sciences. He was the chairman of the bureau of the section for the promotion of economic knowledge under the board of the All-Union Society "Knowledge". He was the editor-in-chief of the ECO magazine and a member of the editorial board of the Science and Life magazine. He was the rector of the Academy of Economics under the Government of the Russian Federation (1989-2002), and later the head of the department of “Economic Theory and Politics” of the Academy of Economics under the Government of the Russian Federation (since 2002).
Foreign member of the Bulgarian (1986) and Hungarian Academies of Sciences (1988), corresponding member of the British Academy (1988), honorary professor of the St. Petersburg Academy of Management and Economics. Member of the Academic Council of the RFCA Academy. He was awarded the medal. Leontyev (2004).
Political activity
In November 1987, during a reception organized in his honor by the Armenian Institute of France and the Association of Armenian Veterans, he said:
Statements by Aganbegyan, who at that time held the post of adviser to Mikhail Gorbachev, contradicted the position of the central authorities in this conflict.
Business projects
Chairman of the Board of Directors of the British-Russian joint venture Link, Chairman of the Board of Zenit Bank, initiator of the construction of the Zenit business center in Moscow, which has become one of the most famous long-term construction projects in the city. Construction of the business center was stopped after widespread corruption was discovered in connection with the awarding of construction contracts.
Family
Son Ruben (born 1972) is the chairman of the MICEX-RTS exchange, which arose from the merger of the Moscow Interbank Currency Exchange and the RTS Stock Exchange.
Monographs
- Wages in the USSR, M., 1959 (together with V.F. Mayer);
- What, Where, Why: for schoolchildren about economics. M.: Education, 1981 (co-authored with D. D. Moskvin);
- Scientific and technological progress and acceleration of socio-economic development. M.: Economics, 1985;
- The economy will become sensitive to renewal. M.: News, 1986;
- Soviet economy - a look into the future. M.: Economics, 1988;
- In the first echelon of perestroika. Novosibirsk, 1989;
- Socio-economic development of Russia // Economics and organization of industrial enterprise. January 2004;
- Crisis: Trouble and chance for Russia. AST, Astrel, Harvest, 2009.
- The Russian economy is at a crossroads... Choosing a post-crisis space / M.: AST: Astrel; Vladimir: VKT, 2010.
Raised a daughter and son.
07.10.2017
Aganbegyan Abel Gezevich
Academician of the Russian Academy of Sciences
Russian Economist
Head of the Department of the Academy of National Economy
News & Events
09/26/2018 Alexey Kudrin defended his doctoral dissertation first at RANEPA according to the new rules
Abel Aganbegyan was born on October 8, 1932 in Tbilisi, Georgia. After school, he received higher education at the general economics department of the Moscow State Economic Institute until 1955. Then in 1958 he graduated from correspondence graduate school.
Since 1956 he was a member of the CPSU. Worked in the State Committee of the Council of Ministers on labor and wages. He worked his way up from an economist, then a senior economist to a deputy head of a department. Subsequently, from 1958 to 1960 he taught at the Department of Political Economy of Moscow State University.
In 1961, Aganbegyan became the head of the sector at the Novosibirsk Institute of Economics and Organization of Industrial Production of the Siberian Branch of the Russian Academy of Sciences. Two years later he received the degree of Doctor of Economics, and a year later he was awarded the title of Corresponding Member of the Russian Academy of Sciences. From 1962 to 1965, he headed the laboratory of economic and mathematical research at the IEOPP.
In 1966, he took the position of director of the laboratory for the application of statistical and mathematical methods in economics. In the same year he became director of the IEOPP and remained in this position until 1984.
One of the founders of the Faculty of Economics of Novosibirsk State University, where he worked as an associate professor, professor, and head of the department of political economy. Until 1985, he was a member of the Presidium and Chairman of the Joint Academic Council on Economic Sciences of the Siberian Branch of the Russian Academy of Sciences. He headed the Scientific Council on the problems of the Baikal-Amur Mainline, and served as deputy chairman of the Scientific Council on the problem of integrated development of natural resources and development of the productive forces of Siberia.
Since 1985, Abel Aganbegyan again worked in the city of Moscow. From 1985 to 1989 he headed the RAS Commission for the Study of Productive Forces and Natural Resources. During the same period, he was Academician-Secretary of the Department of Economics and a member of the Presidium of the Russian Academy of Sciences. Then, from 1989 to 2002, he served as rector of the Russian Academy of National Economy and Public Administration under the President of the Russian Federation. In 2002, he was appointed head of the Department of Economic Theory and Politics at the Academy. Member of the Academic Council of the Academy of the Regional Financial Center of Almaty.
Abel Gezevich is the Chairman of the bureau of the section for the promotion of economic knowledge under the board of the All-Union Society “Knowledge”. Previously, he served as editor-in-chief of the ECO magazine, member of the editorial board of the journals Science and Life, Finance and Business, Economics and Management and Economic Policy.
Chairman of the Board of Directors of the British-Russian joint venture Link, Chairman of the Board of Zenit Bank. He is a member of collegial advisory bodies: the Board of Trustees of the Non-State Pension Fund "Lukoil-Garant" and the Scientific and Technical Council of OJSC Gazprom. Author and co-author of more than 250 scientific publications, 20 monographs. Books on economic problems of perestroika have been published in 12 countries.
Aganbegyan is a member of the Bulgarian Academy of Sciences; Corresponding Member of the British Academy; honorary member of the Hungarian Academy of Sciences. Honorary doctorate from the University of Lodz, the Graduate School of Civil Servants in Barcelona and others. Honorary Professor of the St. Petersburg University of Management and Economics. He is also Honorary President of the International Economic Association and an honorary member of the International Econometric Society.
Raised a daughter and son.
Abel Aganbegyan was awarded the Order of Lenin and the medal “For Valiant Labor. In commemoration of the 100th anniversary of the birth of V.I. Lenin", the Order of the Red Banner of Labor, the medal "In Memory of the 850th Anniversary of Moscow", the Order of Friendship. He was awarded bronze and silver medals from VDNH, a medal named after V.N. Chelomey for active assistance in the development of space programs in Russia, the Leontiev Medal.
... read more >During the years of perestroika, he was an adviser to the General Secretary of the CPSU Central Committee M. S. Gorbachev on economic issues.
Education and scientific career
Graduated from the Moscow State Economic Institute (1955). Member of the CPSU (since 1956). Worked in the State Committee of the Council of Ministers of the USSR on labor and wages (1956-1961). In 1961, he became an employee of the Institute of Economics and Organization of Industrial Production of the Siberian Branch of the Academy of Sciences (IEOPP SB USSR Academy of Sciences), two years later received the degree of Doctor of Economic Sciences, another year - the title of corresponding member of the USSR Academy of Sciences, and in 1964 at the age of 32 years became the director of the IEOPP SB RAS and remained in this position until 1984. Then academician-secretary of the Department of Economics of the USSR Academy of Sciences. He was the chairman of the bureau of the section for the promotion of economic knowledge under the board of the All-Union Society "Knowledge". He was the editor-in-chief of the ECO magazine and a member of the editorial board of the Science and Life magazine. He was the rector of the Academy of Economics under the Government of the Russian Federation (1989-2002), and later the head of the department of “Economic Theory and Politics” of the Academy of Economics under the Government of the Russian Federation (since 2002).
Foreign member of the Bulgarian (1986) and Hungarian Academies of Sciences (1988), corresponding member of the British Academy (1988), honorary professor of the St. Petersburg Academy of Management and Economics. Member of the Academic Council of the RFCA Academy. He was awarded the medal. Leontyev (2004).
Political activity
In November 1987, during a reception organized in his honor by the Armenian Institute of France and the Association of Armenian Veterans, he said:
Statements by Aganbegyan, who at that time held the post of adviser to Mikhail Gorbachev, contradicted the position of the central authorities in this conflict.
Business projects
Chairman of the Board of Directors of the British-Russian joint venture Link, Chairman of the Board of Zenit Bank, initiator of the construction of the Zenit business center in Moscow, which became one of the most famous long-term construction projects in the city. Construction of the business center was stopped after widespread corruption was discovered in connection with the awarding of construction contracts.
Family
Son Ruben (born 1972) is the chairman of the MICEX-RTS exchange, which arose from the merger of the Moscow Interbank Currency Exchange and the RTS Stock Exchange.
Monographs
- Wages in the USSR, M., 1959 (together with V.F. Mayer);
- What, Where, Why: for schoolchildren about economics. M.: Education, 1981 (co-authored with D. D. Moskvin);
- Scientific and technological progress and acceleration of socio-economic development. M.: Economics, 1985;
- The economy will become sensitive to renewal. M.: News, 1986;
- Soviet economy - a look into the future. M.: Economics, 1988;
- In the first echelon of perestroika. Novosibirsk, 1989;
- Socio-economic development of Russia // Economics and organization of industrial enterprise. January 2004;
- Crisis: Trouble and chance for Russia. AST, Astrel, Harvest, 2009.
- The Russian economy is at a crossroads... Choosing a post-crisis space / M.: AST: Astrel; Vladimir: VKT, 2010.
(1963), academician of the USSR Academy of Sciences (1974; corresponding member since 1964).
Abel Gezevich Aganbegyan | |
---|---|
Arm. Աբել Գյոզի Աղանբեկյան | |
2018 |
|
Date of Birth | October 8(1932-10-08 ) (87 years old) |
Place of Birth | Tiflis, USSR |
A country | |
Scientific field | economy |
Place of work |
, NSU, Academy of National Economy under the Government of the Russian Federation |
Alma mater | MGEI (1955) |
Academic degree | Doctor of Economics (1963) |
Academic title |
professor (1965), Academician of the USSR Academy of Sciences (1974), Academician of the Russian Academy of Sciences (1991) |
Scientific director |
V. S. Nemchinov, T. S. Khachaturov |
Famous students | V. V. Kuleshov |
Known as |
management specialist, planning, economics of socialist enterprises |
Awards and prizes | |
Media files on Wikimedia Commons |
In 1961, he became the head of the sector at (IEOPP SB USSR Academy of Sciences), two years later he received the degree of Doctor of Economic Sciences, and a year later - the title of corresponding member of the USSR Academy of Sciences. Head of the Laboratory of Economic and Mathematical Research of the IEOPP (1962-1965) and Novosibirsk State University (1965-1966), Director of the Laboratory for the Application of Statistical and Mathematical Methods in Economics (1966). In 1966, at the age of 33, he became director of the IEOPP and remained in this position until 1984.
One of the founders of the Faculty of Economics of NSU, where he worked as an associate professor (1962-1963), professor (1963-1985), and head of the department of political economy (1963-1970). Member of the Presidium, Chairman of the Joint Academic Council on Economic Sciences of the Siberian Branch of the USSR Academy of Sciences (1966-1985), Chairman of the Scientific Council on the Problems of BAM (1974-1987), Deputy Chairman of the Scientific Council of the Siberian Branch of the USSR Academy of Sciences on the problem of integrated development of natural resources and development of the productive forces of Siberia ( program "Siberia") (1979-1981).
Since 1985, again in Moscow: Chairman of the USSR Academy of Sciences Commission for the Study of Productive Forces and Natural Resources (1985-1989), Academician-Secretary of the Economics Department and member of the Presidium of the USSR Academy of Sciences (1986-1989). He was the rector of the Academy of National Economy under the Council of Ministers of the USSR/Government of the Russian Federation (1989-2002), and since 2002 he has been the head of the department of “Economic Theory and Politics” there. Member of the Academic Council of the RFCA Academy.
Chairman of the bureau of the section for the promotion of economic knowledge under the board of the All-Union Society “Knowledge”. Editor-in-chief of the magazine "ECO" (1970-1988), member of the editorial board of the magazines "Science and Life", "Finance and Business", "Economics and Management" and "Economic Policy".
Business projects
Chairman of the Board of Directors of the British-Russian joint venture Link, Chairman of the Board of Zenit Bank, initiator of the construction of the Zenit business center in Moscow, which has become one of the most famous long-term construction projects in the city. Construction of the business center was stopped after widespread corruption was discovered in connection with the awarding of construction contracts. He is a member of collegial advisory bodies: the Board of Trustees of NPF Lukoil-Garant and the Scientific and Technical Council of OJSC Gazprom.
Family
Daughter Ekaterina (born 1959) lives in the USA.
Main works
Author and co-author of more than 250 scientific publications, including 20 monographs. Books on economic problems of perestroika (1988-1989) were published in 12 countries.
- Wages in the USSR. - M., 1959 (in collaboration with V.F. Mayer);
- Economic and mathematical analysis of the inter-industry balance of the USSR. - M., 1968 (in collaboration with A.G. Granberg);
- System of models of national economic planning. - M., 1972 (in collaboration with A. G. Granberg and K. A. Bagrinovsky);
- The work of a leader: a textbook for senior management personnel. - 3rd ed. - M.: Economics, 1977;
- Management of socialist production: issues of theory and practice. - M.: Economics, 1979;
- Siberia is no stranger to travel. - M., 1981 (in collaboration with Z. Ibragimova);
- What, Where, Why: for schoolchildren about economics. - M.: Education, 1981 (in collaboration with D. D. Moskvin);
- Scientific and technological progress and acceleration of socio-economic development. - M.: Economics, 1985;
- The economy will become sensitive to renewal. - M.: News, 1986;
- Soviet economy - a look into the future. - M.: Economics, 1988;
- In the first echelon of perestroika. -Novosibirsk, 1989;
- Inside perestroika: the future of the Soviet economy. - M., 1989 (translated to the USA, England, France, Germany, Japan, Spain, Italy, etc.);
- Socio-economic development of Russia. - M., 2003;
- Socio-economic development of Russia // Economics and organization of industrial enterprise. January 2004;
- Crisis: trouble and chance for Russia. - M.-Mn.: AST, Astrel, Harvest, 2009.
- The Russian economy is at a crossroads... Choosing a post-crisis space. - M.: AST, Astrel; Vladimir: VKT, 2010.
- Demography and healthcare of Russia at the turn of the century. - M.: Publishing house "Delo" RANEPA, 2016. ISBN 978-5-7749-1193
- Finance, budget and banks in the new Russia. - M.: Publishing house "Delo" RANEPA, 2018. ISBN 978-5-7749-1277-3
- On the priorities of social policy. - M.: Publishing house "Delo" RANEPA, 2018.