The author argues that Russia needs modernization. Its essence is in the transition to the new economy. But the main factor which is necessary in this respect is modernization of social institutions. Russian society is not mature enough for the modernization. One needs to take measures in order to promote public confidence and social activity. The reforms require therefore a lot of investment, including public investment, into the transformation of social institutions.
The article discusses the current stage of economic development in Russia. In particular, the authors analyze the problems caused by both the inefficiencies accumulated during the previous years, and the deterioration of the external conditions in 2014. They also stress the factors that can support and prevent the restructuring of the Russian economy and its further growth. In conclusion they list economic policy scenarios appropriate for the new situation.
The author on the example of the groups of countries (Western and Eastern Europe, Latin America and Eastern Asia) considers the connection of values and economic development. Spain has demonstrated serious advances in the system of values. The main factors are market reforms and democratization. Traditional Russian values seriously reflect relations of archaic society with agrarian-feudal economy and hierarchical structure of authorities. The Soviet system of values looked like a traditional one in many ways. In modern Russia under the influence of reforms and changes in the way of life the structure of value orientations moves more and more in the direction of liberal and productive values. As the author sees it formation of the productive system of Russian values requires time, continuation and completing of liberal institutional reforms, consecutive democratization, humanization of authorities, policy and social life.
The article proposes the realization of structural reforms in the Russian economy. The author points out three sectors of the modern economy: the export sector, mainly energy and raw materials; the sector oriented at domestic market; the non-market sector, which includes, besides budgetary sphere, electricity production, gas industry and utilities. The idea is to considerably limit the size of the non-market sector at the expense of the said industries and broaden in them the sphere of competitive relations, leveling relative prices and hence creating additional stimuli to modernization of the economy.
Following the issue of innovational potential of catching-up countries the authors consider the peculiarities of China, India and Brazil’s institutions and culture. According to their opinion, these peculiarities can limit innovational development of the said countries. For each of them the limitations have their specifics, but when positive factors are exhausted they can become the brake to development. This issue is also important for Russia because it has its own limitations.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.