RESEARCH OF IMPACT OF NATURAL RESOURCE WEALTH ON ECONOMIC DEVELOPMENT AND HUMAN CAPITAL USING MARX’ PRODUCTION SCHEME

The purpose of the research is to unveil conditions for sustainable development by studying relationship between natural (I) and non-natural (II) wealth based on Carl Marx’ re-production scheme. For this purpose, Marx’ simple and complex re-production schemes were modified to: - disaggregate capital (c) in Marx’ scheme in line with the requirements of a contemporary period into physical capital (c1), natural capital (c2) and human capital (c3) welfare; - put forward a hypothesis that a surplus value is created through exploitation of natural wealth and human capital rather than exploitation of labour taking into account the characteristics of contemporary market relationships (such as social functions of state, including minimum wages, free education and medical services, pension and other social allowances); - compile Marx’ scheme based on indicators of System of National Accounts (SNA) and “input-output” tables, while defining conditions for emergence of excess cash, economic growth and inter-sectorial sustainable (equilibrium) development. The primary reason of much higher growth rate of value added of scarce natural resources as a result of their exploitation, as opposed to growth in other sectors is related to the fact that share of natural capital in income is not fully repaid. This factor diminishes the exchange demand of oil-gas sector on the non-oil-gas sector, as a result, the equality of demand and supply leads to a lower growth rate of the non-oil-gas sector. As we can see from our scheme, repayment of share withheld from recovery of natural capital in the income generated in the oil-gas sector could be the primary condition of balanced development of the economy. The repayment of its share in the income to natural capital can be reflecetd in spending on protection of natural environment, ecological balance, development of agriculture and human capital. The source of such spending should be mining tax, land and ecological taxes as well as a portion of oil sector profits (greater than the profit tax).