Reduction and Substitution of Markets

The article discusses the problem of reducing and replacing markets in the past, present and future. The author assumes that the market collapses when a new market takes its place or is another already existing one is being expanded. Two reasons for the replacement of markets are identified — techni...

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Main Author: Y. P. Voronov
Format: Article
Language:Russian
Published: Government of the Russian Federation, Financial University 2022-01-01
Series:Мир новой экономики
Subjects:
Online Access:https://wne.fa.ru/jour/article/view/324
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author Y. P. Voronov
author_facet Y. P. Voronov
author_sort Y. P. Voronov
collection DOAJ
description The article discusses the problem of reducing and replacing markets in the past, present and future. The author assumes that the market collapses when a new market takes its place or is another already existing one is being expanded. Two reasons for the replacement of markets are identified — technical innovations and the deterioration of business conditions in the established markets. In the first case, the replacement of the market comes from the supply side, in the second — from the demand side. When the conditions of activity worsen in one market, buyers’ demand flows from the collapsing market to another, which increases due to this. The author also divides market substitution processes into spontaneous and organized ones. It is noted that the coronavirus epidemic puts on the agenda the problems of curtailing three markets that make up a significant part of consumption in the modern economy: mass gatherings (entertainment events), public transport, and restaurants. It is indicated that economic science in these conditions should reorient its research from the problems of economic growth to the problems of changing the structure and composition of markets to achieve balanced development, taking into account current and future restrictions on activities in the areas mentioned above.
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institution Kabale University
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publishDate 2022-01-01
publisher Government of the Russian Federation, Financial University
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series Мир новой экономики
spelling doaj-art-39a2bdffeb9f40d8abcee2293a061a882025-08-20T03:42:56ZrusGovernment of the Russian Federation, Financial UniversityМир новой экономики2220-64692220-78722022-01-0115361610.26794/2220-6469-2021-15-3-6-16314Reduction and Substitution of MarketsY. P. Voronov0Institute of Economy and Industrial Engineering, Russian Academy of SciencesThe article discusses the problem of reducing and replacing markets in the past, present and future. The author assumes that the market collapses when a new market takes its place or is another already existing one is being expanded. Two reasons for the replacement of markets are identified — technical innovations and the deterioration of business conditions in the established markets. In the first case, the replacement of the market comes from the supply side, in the second — from the demand side. When the conditions of activity worsen in one market, buyers’ demand flows from the collapsing market to another, which increases due to this. The author also divides market substitution processes into spontaneous and organized ones. It is noted that the coronavirus epidemic puts on the agenda the problems of curtailing three markets that make up a significant part of consumption in the modern economy: mass gatherings (entertainment events), public transport, and restaurants. It is indicated that economic science in these conditions should reorient its research from the problems of economic growth to the problems of changing the structure and composition of markets to achieve balanced development, taking into account current and future restrictions on activities in the areas mentioned above.https://wne.fa.ru/jour/article/view/324commodity marketprivate carspublic transportmedicine marketchemical fertilizersherbicides and pesticides
spellingShingle Y. P. Voronov
Reduction and Substitution of Markets
Мир новой экономики
commodity market
private cars
public transport
medicine market
chemical fertilizers
herbicides and pesticides
title Reduction and Substitution of Markets
title_full Reduction and Substitution of Markets
title_fullStr Reduction and Substitution of Markets
title_full_unstemmed Reduction and Substitution of Markets
title_short Reduction and Substitution of Markets
title_sort reduction and substitution of markets
topic commodity market
private cars
public transport
medicine market
chemical fertilizers
herbicides and pesticides
url https://wne.fa.ru/jour/article/view/324
work_keys_str_mv AT ypvoronov reductionandsubstitutionofmarkets