Сompensational and preferential forms of support to agriculture

The paper presents an analysis of the difference in the meaning between such concepts as “innovation†and “modernizationâ€. For the first time ever in the literature two new conceptions are introduced, that being compensational and preferential forms of support to agriculture. Their content is theoretically analyzed. Transition to a new policy of entering the WTO is proposed implying that both parties — Russia and the European Union — switch to compensational budget support to the agriculture.