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Identification of priority areas for the development of industrial sectors of economy during the transition to a new technological mode is closely linked to the definition of determinants of their sustainable development. Using the theory of sustainable development is the methodological basis for the building of a new industrial policy. Empirical research is aimed at evaluating the determinant of sustainable development of machine building industry in Russia. The authors systematized the basic approaches to identifying and assessing the factors of sustainable development of the industry within the framework of the concept of structural economy. Using the Panzar-Rosse model the assessment of interest income elasticity of engineering enterprises is made at factor prices of productive resources. Advantage of this method is that the reliability of statistical sampling is used, the complexity of the model used, the possibility of using the proposed tools for further multivariate analysis. The results of the study indicate a low level of sustainable development, focusing on getting immediate results, lack of strategic and innovative prospects. This state is adaptive behavior of constant tweaking under the macroeconomic and institutional changes and crises. Despite the large number of strategic programmes and scenarios of the development of machine building industry depends more on not consistency overall economic policy, the impact of economic crises. We can say that in the short term for engineering industries determinant for further development must be development strategy focused on optimization, improving the quality, efficiency, management of major production resources. Keywords— sustainable development, new economic policy, structural economy, industrialization, machine building industry, innovation, the Panzar-Rosse model, elasticity.

Determinants of sustainable development of machine building industry under the new industrialization