The model of managing state-owned enterprises as a new elementary economic cell (EEC) of a society as compared to private enterprises

Abstract

Purpose: to consider a new model of managing state-owned enterprises, which should not be based on the capitalist theory of value, the profit in it should be determined from revenue, according to the standard, to the value of production assets. Discussion: if we turn to the upheaval of the business model, then a completely different life will go on at state enterprises. The theoretical foundation of the conditions for the effectiveness of the proposed new model of managing state enterprises are the three laws of dialectics and the Hegelian triad of development. Economists committed to institutional theory do not go beyond criticism of the remnants of feudal relations that still exist in many countries and speak of «rules of the game» only for conditions of private ownership of the means of production. As you know, after the Second World War, significant nationalization of private enterprises was carried out in the UK and in France. In Great Britain, the Laborites, who won the elections in 1944, did this, and in France the enterprises of those private owners who during the Second World War collaborated with the occupiers were nationalized. Neither in the UK, nor in France did they turn over for nationalized enterprises the economic model that has developed under the conditions of private ownership of the means of production. This led to the fact that state enterprises worked worse than private ones and as a result announced that the state was a bad capitalist. And the state should not assume the role of capitalist in nationalized enterprises, replacing private entrepreneurs. The state in relation to its enterprises in accordance with the laws of dialectics is in the role of the aggregate feudal lord. For state-owned enterprises, the same «rules of the game» that practice has developed for private enterprises are not suitable. Results: the business model of state enterprises can be implemented not only in the manufacturing and processing industries, but also in the extractive sector and agriculture.