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Economics: the strategy and practice

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Vol 17, No 1 (2022)
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TRANSFORMATION OF THE INSTITUTIONAL ENVIRONMENT AND PUBLIC ADMINISTRATION 

6-18 638
Abstract

This article aims to analyze anti-corruption measures in the healthcare system during a pandemic. During this study, the problem of corruption was studied as a subject of interdisciplinary analytical discourse in the global and domestic expert space. Also, based on the results of the content analysis of critical analytical documents from leading international anti-corruption organizations, specific health problems during the pandemic, typical for all countries of the world, were identified. As a result of the analysis of international documents, Kazakhstani scientific and analytical articles, leading state initiatives of Kazakhstan in the field of reforming the country, key conclusions were drawn regarding the understanding of strategic ways of sustainable development through the introduction of an effective and efficient mechanism for adapting world standards to the Kazakhstani field of combating corruption in general and to the system public administration in the healthcare system in particular. The study was carried out based on a comparative analysis of expert assessments of corruption in the healthcare sector. To determine the adaptive effectiveness of applying the recommendations of the global anti-corruption expertise in Kazakhstani practices of combating corruption in the public health administration system, an empirical study of institutional aspects in anti-corruption international analytics was undertaken. This made it possible to see the significance of local features and systemic prerequisites that determine the success of anti-corruption actions in Kazakhstan. During the preparation of the article, the following sources were used: socio-economic expertise of Interpol; National Report on Combating Corruption; analytics from a global anti-corruption NGO.

19-32 684
Abstract

The global pandemic has significantly disrupted the functioning of certain branches of public administration. Still, it has become a springboard for the accelerated development of new technologies, including remote work, a flexible approach to strategic decision-making and services. The purpose of the study is to analyze the public administration system in the context of the pandemic as a whole, the adopted reforms, comprehensive differentiation using specific social methods, comparative methods, and providing recommendations. Individual event analysis of the reforms implemented by our country during the pandemic was also carried out, and the results were analyzed on the basis of this analysis method. The article also analyzes the actions of giant states such as the People’s Republic of China, Great Britain, France, the Netherlands, Turkey, Korea, and Germany during the pandemic to combat the crisis. Summing up the results of the research goal, we came to the conclusion that, first of all, it is necessary to ensure the satisfaction of the population with the country’s public administration system, regulate the healthcare sector, develop medical production, organize full coverage of the people with domestic food products, increase the quantity and quality of export-oriented goods, increase the demand for scientific laboratories and qualified specialists, strengthen information security. The results of the research in the article, i.e. recommendations, can be used in the process of public administration to prevent such gaps in the conditions of rapid action in a crisis.

INNOVATION, INNOVATION AND TECHNOLOGICAL DEVELOPMENT, DIGITALIZATION 

33-49 567
Abstract

In the context of the continuous economic development of the Republic of Kazakhstan within the framework of the country’s popularized integration into the EAEU, increasing the level of digitalization in the context of science, technologies of state, and business management is becoming increasingly important. The article aims to consider the transformation of land policy management on the example of the Northern region of the Republic of Kazakhstan based on digitalization by assessing the effectiveness and availability of the Qoldau.kz service. In the course of writing the work, an author’s study was carried out using the Varimax method, aimed at determining the key factors characterizing the effectiveness of the Qoldau.kz service. The study results confirm the interconnection of critical aspects of the digital transformation of public administration in the context of the implementation of land policy in Northern Kazakhstan through the optimization of the Qoldau.kz service. The study results also determine the relationship between the low number of active users of the site and the complexity of its device, the need to have special practical skills, and the high cost of maintenance. To optimize the operation of the service in the context of land policy management, the authors proposes recommendations to simplify the process of obtaining a benefit, reduce the cost of service, minimize the corruption component in the allocation of subsidies, and the need to increase the popularity of the service among key recipients of services.

50-61 590
Abstract

The article reveals the problems of the information space of Kazakhstan, which is undergoing significant changes related both to the political events that have recently occurred in the world and to the rapid development and widespread use of new Internet technologies. Today, the telecommunications services sector is one of the main directions of the economy, on the effective operation of which the functioning and coordinated work of all state systems depend. The development of the telecommunications services sector is not only a key factor of economic growth but also a necessary condition for the development of the country’s economy in the context of globalization. The purpose of the study is to analyze the data of the main agents of the information environment, the level of development of the subjects of the telecommunications sector and to determine the main trends in the development of the Internet space. The methodological basis of the study was made by general scientific methods of economic, statistical, logical, and analytical analysis, the system method, synthesis. Based on the conducted research, it turns out that the development of the information environment is an intersectoral, interdepartmental, and state task that requires coordination of the actions of many participants in this process. The influence of the information environment on the business community of the country and the economy of Kazakhstan has increased and requires an understanding of the trajectories of its development. The interest to researchers of the information environment and business practitioners interested in the market of Kazakhstan.

REGIONAL ECONOMY AND TERRITORIAL DEVELOPMENT 

62-79 6887
Abstract

With the development of industry, the industrialization of agriculture, the strengthening of Industry 4.0 trends in all countries of the world, the trends of migration of rural residents to cities, and the pace of urbanization are increasing. The purpose of the article was to study the main factors determining the trends, intensity, and specificity of urbanization processes in Kazakhstan. The methods of retrospective analysis, analogies, logical analysis, generalizations, demographic and economic statistics, index, graphic, comparative analysis, absolute and relative indicators of demography and migration, methods of the theory of differentiated urbanization are used. Specific methods were applied to calculate the coefficients of urbanization intensity. To achieve the goal, a comparative analysis of theoretical views on trends and factors of urbanization was carried out. Based on statistical data, a comparative analysis of the birth rate, the level, and quality of life, the level of poverty in cities and villages of Kazakhstan was carried out. The dynamics, orientation, and territorial distribution of urbanization processes are revealed. To determine the hierarchies of cities depending on the population, Zipf curves were calculated, ranking of cities was carried out. It is concluded that the processes of urbanization in the country are uneven, as well as that the factors of urbanization are fully manifested in Kazakhstan’s conditions and determine its trends and intensity. Based on the identified trends and problems of urbanization, recommendations on the choice of the main directions and mechanisms for regulating the processes of urbanization in Kazakhstan are substantiated.

80-92 1122
Abstract

This article examines the overall demographic development of Kazakhstan, including long-term trends in fertility and mortality. The study notes that the demographic development of the country in different regions is different, which, in turn, interferes with the demographic situation. This study used the method of SPSS analysis in computer technology using multivariate statistical and mathematical methods to group the regions of Kazakhstan into clusters according to six main indicators (total mortality, infant mortality, demographic load, proportion of triplets, nuptiality, frequency of abortions). As a result, the regions of Kazakhstan are divided into three clusters according to the process of demographic development. A comparative analysis of the demographic indicators of the regions in these three clusters and their intensity in comparison with the national level is carried out. According to the average indicator of 7 regions included in the first cluster, it was determined that they are in the direction of a regressive trend. The two largest cities of the second cluster - Nur-Sultan and Almaty - are based on a stationary process and progressive development of 8 regions of the third cluster. Cluster analysis revealed a high demographic potential in the third cluster region and depopulation in other cluster regions: Kostanay, North-East Kazakhstan regions, and Almaty. Therefore, when predicting future births and deaths, it is necessary to take into account the promising characteristics of each region and the trend of the system of indicators characterizing the current demographic situation, which determines the type of population growth in each region.

93-109 1217
Abstract

The article considers the resource potential of such an industry as agriculture of the Republic of Kazakhstan. The need to study the factors of production is not in doubt since the influence of resource potential affects all levels of the economy. At the macro level, this is the production of the total social product; at the meso level - the production of the gross regional product; at the micro-level - the company’s production of marketable products. The factors of production, which include labor resources, natural and biological factors, capital, entrepreneurial abilities, are studied on the example of the agricultural sector. The assessment of agricultural production factors of the Republic of Kazakhstan is given. Practical aspects of the content of production factors based on economic statistical information are revealed. The analysis of the economic dynamics of agriculture at the present stage of management is carried out. It was revealed that crop production prevails in the structure of the gross agricultural output. Animal husbandry and farming services occupy a smaller share. The characteristic of the acreage distribution by regions of the Republic of Kazakhstan is given. The tendencies of supply in the rural labor market are considered. The primary investment areas have been identified as the need for capital investments increases in domestic agriculture. The service life and wear indicator of agricultural machinery give grounds to assert that the capital factor is insufficient for the industry under study, which significantly reduces the possibilities of expanded reproduction.

DEMOGRAPHY, HUMAN RESOURCES AND THE LABOR MARKET 

110-126 759
Abstract

Human capital is the primary source of development of the state organization. The assessment quality of human capital can contribute to improving the understanding of factors determining economic growth, assessing the longterm sustainability of a country’s development model, as well as measuring productivity and production productivity. The N.A. Nazarbayev and President K. K. Tokayev, in their messages, the strategic development plan of state stressed the importance of human capital development and designated it as the main force of the country’s development. The article discusses the methods of determining and evaluating human capital quality and comparative analysis based on their advantages and disadvantages. Scientific novelty – development of a methodology for determining the quality of human capital, including the definition of a flexible methodology that takes into account the economic and social characteristics of the country, based on a comparative analysis of traditional and innovative methods of human capital quality management models, their indicators. Made its own analysis of the formation and evaluation of human capital. Analysis of the problems of methods for assessing human capital, objectivity, and sufficiency of data for constructing an assessment. As a result, the advantages and disadvantages of the methods used to determine the quality of human capital were identified, and the possibility of application in practice was assessed. The evaluation used the methods of scientific abstraction, induction, deduction, analysis, and synthesis methods. The results can be presented as a practical tool for enterprises conducting the human capital assessment as a methodological means of teaching at university.

127-143 914
Abstract

The main purpose of the article is to study the state and development prospects of academic mobility in Kazakhstani universities. Since the launch of mobility, the status of universities has changed significantly for the better, namely the quality of education has begun to increase, allowing to build up the capacity of graduates by studying foreign models, professional environment approaches competencies that will undoubtedly be in demand on the labor market. The current employers’ requirements for university graduates are very high, and only the presence of a systemic policy in universities for the development of various models of mobility will make it possible to comply with modern global trends. In the paper, the authors present the data of the Ministry of Education and Science of the Republic of Kazakhstan for 2019–2020, reflecting the activities of universities in the field of mobility, the data of the Auezov South Kazakhstan University. In 2020–2022 the conditions for mobility have been changed under the influence of economic and political factors and COVID-19. Overall, universities in most countries have switched to hybrid forms of study. The results of field research are presented to identify the role of mobility and efficiency of competencies, as well as the development skills of students on the example of the Auezov University. According to the study, it was concluded that mobility is an important factor in the preparation of competitive specialists for the economy of Kazakhstan. Undoubtedly, it impacts and plays an important role in the formation of the University 4.

144-154 565
Abstract

Human capital is a crucial determinator of economic development because of the rapid pace of scientific and technological progress. The objective of the research is to define the state of human capital in manufacturing and to find the link between human capital and innovation. The correlation and regression analysis of the Human Capital Index designed and calculated by World Bank and Global Innovation Index was designed and calculated by WIPO of 127 countries in the year 2020. The second part of the analysis was the human capital in the manufacturing sector. The secondary data from the Bureau of National statistics were taken from the year 1991 to the year 2020. We analyzed the composition of workers by gender composition, gender pay gap, the number of bachelors graduated of technical major, aging, and education. HCI of Kazakhstan in 2020 is dropped; a possible reason for this is the COVID-19 pandemic’s side effect on the health and education of the population. The correlation between Global Innovation Index and Human Capital Index is 0,86. The 50% gender gap is revealed in the manufacturing sector employees, which shows an upward trend. Most workers in the manufacturing industry do not have a bachelor’s degree, which means that they perform hand labor rather than mental. Probably increasing the innovation used in the country may decrease the number of employees without proper education, while the productivity of the manufacturing sector will increase. However, we should consider that unemployment will increase either.

MACROECONOMICS, WORLD ECONOMY 

155-170 465
Abstract

Cereal trade is an important means of managing global food demand and maintaining national food security. Trade-in cereal and other agricultural products are becoming an increasingly important way of managing resources between countries with rich resources and countries with limited resources. Grain production is the sector with the highest priority in the development of agriculture in Kazakhstan, while China is the world’s leading cereal producer and consumer. Therefore, the aim of this study is to examine the development of foreign trade with cereal between Kazakhstan and China by using the empirical data given by UN COMTRADE to highlight its efficiency by type of cereal traded from 2009 to 2018. The study used Revealed Comparative Advantage and Import Coverage indexes to achieve its goal. The results revealed that Kazakhstan’s most productive foreign trade has been achieved for wheat, barley, and rice, while the most productive cereals of China are rice, buckwheat, and sorghum. Moreover, there is no direct competition on cereal between Kazakhstan and China in international trade. This study has led to the conclusion that Kazakhstan intends to trade more cereals with high export value, low import value, high positive trade balance, high coverage index, and highly competitive advantages in foreign trade. Kazakhstan should make use of comparative advantages to optimize the structure of grain trade in bilateral trade. Consequently, China must increase its cereal production potential through improved yields, so that it can only enter foreign markets under exceptional circumstances.

171-184 990
Abstract

TNCs provide asignificant part of the global industrial production. For developing countries, the issue of attracting FDI has never lost its relevance. TNCs have always been among the priority foreign investors and the main structural element of most world economies. TNCs solve critical issues of economic growth in developing countries with the help of foreign direct investment. The aim of this article is to study the dependence of a developing country’s economic growth on FDI, i.e. consider and explore the relationship between these two indicators. The object of the study is FDI and the GDP of Russia and Kazakhstan. Initially,the study was aimed at identifying the positive and negative aspects of TNCs through the analysis of FDI in Kazakhstan and Russia over the years of independence. Next, the study includes a regression analysis of the contribution of FDI to the GDP of Russia and Kazakhstan. SPSS software was used. The share of GDP for FDI for Kazakhstan and Russia was used as an independent variable. GDP for both countries was taken as the dependent variable. The analyzed period was from 1992 to 2020. Statistical data was used from official sources. Regression analyses performed with dependent variables are significant. Upon the research results, the independent variable for the RF model is higher than for the KZ model. Thus, the level of FDI contribution to GDP growth for Russia is much higher than for Kazakhstan.

185-198 762
Abstract

According to the Bureau of National Statistics of the Republic of Kazakhstan, there are 287 premises per thousand inhabitants in Kazakhstan regarding the number of residential premises and the average annual population. The problem of urgent housing need in Kazakhstan is being solved by the accelerated development of housing construction and by state programs for concessional lending. Housing affordability is one of the pressing issues of the socio-economic policy of any state. One of these programs is “NurlyZher”. The main measures of state support are aimed at the construction of affordable housing for the general population. To solve housing affordability issues, the “7-20-25” program was developed in 2018, which has the most significant demand. Therefore, it is essential to understand whether the population can take out a mortgage. This study builds on research by the Center for Applied Economics Research (AERC) on housing affordability in the country. This study uses two indicators, HPI and HPA, calculated for significant cities and regions. For the calculations, the official statistics of the BNS between 2015 – 2020 were used. 
According to results based on the HPI indicator, residents cannot save for housing with an average salary without taking into account expenses. The HPA indicator for four mortgage programs, “7-20-25” was more accessible. However, calculations were made on average data, but in practice individually. The programs developed by the state are effective since the situation with the affordability of housing has improved over the past five years.

MANAGEMENT AND MARKETING 

199-211 570
Abstract

Kazakhstan has a remarkable ability to become the core of food security in the Eurasian region. Obviously, the advantages of Kazakhstan in natural and climatic conditions help strengthen the agricultural sector’s position in its economy. In particular, the positive factors of agricultural sector production are enormous land resources, inland geographical location, and historical background (nomadic cattle breeding, crop production). The agricultural sector is one of the riskiest sectors and manifests itself in climatic, political, technological, financial, corruption, and other issues. It is noted that investments in the industry are mainly represented by state funds (budget, extra-budgetary). Such massive public and private financial investments generate a corruption component effect. The opinion of importance to manage the corruption risk in agriculture is shown. The authors also give the corruption risk concept to analyze the corruption risk features in agriculture. Within the framework of the agricultural specifics, the classification of corruption risks is given. The authors also investigate this risk category’s prerequisites, features, and types. The article presents the internal and external analysis of Kazakhstan’s agriculture corruption risk. Modeling the corruption risk in agriculture as a matrix is proposed as one of the methods of its managing. Forming a standard matrix template with examples of its application shows the significance of preventing measures. In conclusion, there is the need for mutual goals to combat corruption risks both for the state and for agribusiness entities.

212-225 628
Abstract

The purpose is to analyze the organizational management of large business entities; the results of improving the corporate quality of the work of structural divisions on the practical management principles. Based on the scientific literature review there were used methods of sampling, observation, systemic and economic analysis, and questionnaires to identify «gaps» in the management system. The scientific, methodological, and information base were the work of foreign and domestic scientists and economists in studying problems of the practical organization of management in the activities of industrial enterprises, which should be characterized with the sufficient level of innovative mechanisms implementation strategic management. The financial and economic activities of the enterprise were analyzed, based on a system analysis, an assessment of the internal environment and the PEST method was carried out, and an evaluation of the external environment was given, which allowed the authors to develop practical measures for the effective organization of project management. The key indicators are based on the estimated indicators to ensure the organization’s leadership in the production and industrial enterprise’s economic potential. The calculation of four integral indicators that contribute to vertical and horizontal interaction development is necessary for effective enterprise management. This methodology for assessing the management organization effectiveness in industrial enterprises helps small, large businesses to use rational mechanisms for effective management and develop targeted strategies for the enterprise’s development in the long term.

226-237 2743
Abstract

Nowadays, the film industry is an important sector of the economy of many countries. Scientific interest in the research of cinema will grow with each passing day. This is because the film industry, consisting of producers and commercial organizations, is an object of investment and a successful asset. The article focuses on defining the role of the film industry in Kazakhstan’s economic and social development. The article’s primary goal is to identify and discuss current problems and trends in the development of the domestic film industry by analyzing its current state. The paper reveals the essence of the three main functions of the film industry - economic, social and ideological. The current state of the domestic film industry is analyzed by the use of statistical and sociological data. Relevant issues, socio-economic peculiarities, critical participants in the film market of Kazakhstan were considered. The research results established that private film companies dominate the domestic film business. The market is dominated byproducts of the foreign film industry, evidenced by their financial receipts. The task of increasing the share of domestic films, including national cinema in the film market, becomes more relevant. In addition, the article presents the problems that prevent the development of the domestic film industry and the factors that contribute to its further development. These factors include improving public administration in the field of cinematography, the establishment of clear parameters for the quality of domestic films, ensuring the principles of accessibility of Kazakhstani films.



ISSN 1997-9967 (Print)
ISSN 2663-550X (Online)