Implementation of the Economic Concept of a Closed Cycle

Abstract

The article discusses the basic principles of the implementation of the transition from a linear economy to a circular economy model. The article summarizes the existing problems that require solutions to create new jobs, increase economic growth, and create a balance between the economy, environment and population. The authors present examples of building a circular economy model in foreign countries. The importance of the tasks of implementing and promoting the circular economy was revealed, thanks to the involvement of all participants in the society in this process and the motivation for companies and investors. Effective tools for moving society towards a resource-efficient closed-cycle economy, increasing energy efficiency, energy conservation and reducing the energy intensity of the gross domestic product, due to the entry into a competitive level of renewable energy sources are investigated. The introduction of digital technologies and artificial intelligence in automated accounting of resource consumption, as well as the improvement of accounting rules will create opportunities for the end user to manage resource consumption taking into account the principles of a circular economy. The authors' study emphasizes that circular economy products and services should minimize resource use and promote reuse, recovery and recycling of materials in the future, leveraging existing product policy instruments, further support for the repair sector, improved design for reuse, and high-quality packaging recycling. The authors in the article propose to legislate the subsidizing of enterprises participating in the circular chain and subsidizing innovative developments in the field of the circular economy in the Russian Federation.