The New Political Economy of Russia

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Overview

Can Russia's recent burst of economic growth be sustained? Taking a comprehensive look at the economic and political regime shift from Yeltsin to Putin, this book explores the key challenges facing the Russian economy: to narrow the productivity gap between Russian and Western firms and industries; to attract more domestic and foreign investment; and, underlying these goals,to implement the judicial, administrative, social, and banking reforms necessary to future growth.Written by a team of researchers from the Center for Economic and Financial Research—aMoscow-based independent think tank—the book draws on a wealth of new research and data. The authors emphasize the need to strengthen the protection of property rights, restructure the banking sector, and reduce government officials' powers to intervene arbitrarily in private businesses. They also stress the importance of enhancing human capital—through educational reform and by reducing barriers to citizens' geographical and sectoral mobility. Considering political institutions, the authors examine the promise and risks of the centralization of power around President Putin.

Finally, they discuss the likely impact of Russia's greater integration into the world economy,notably through its potential membership in the World Trade Organization.

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What People Are Saying

From the Publisher
"An encyclopedic, integrated, and thoroughly modern presentation of labor economics,from supply and demand decisions to unemployment to the role and effects of institutions. Topics with which I am familiar have been given a clear, concise, precise, balanced, and convincing treatment. This is an outstanding textbook."—Olivier Blanchard, Professor of Economics,MIT

"A marvellous essay on how technology, education, and management all combine to shape and change the world we live in. The style is superb, the insights many, the propositions challenging. One hundred pages of pure intellectual fun."—Olivier Blanchard, Professor ofEconomics, MIT

"A beautiful and elegant book. A well argued and convincing thesis: That, after centuries of dream chasing, pragmatism has come to Latin America. One passionately hopes that it will not go away."—Olivier Blanchard, Professor of Economics, MIT

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Product Details

  • ISBN-13: 9780262025423
  • Publisher: MIT Press
  • Publication date: 7/13/2003
  • Edition description: New Edition
  • Pages: 152
  • Product dimensions: 5.37 (w) x 8.00 (h) x 0.75 (d)

Meet the Author

Erik Berglöf is Director of the Stockholm Institute of Transition Economies and EasternEuropean Economies at the Stockholm School of Economics and President of the Center for Economic andFinancial Research (CEFIR).

Andrei Kunov is a doctoral candidate in political science and international political economy at Stanford University and Senior Economist at CEFIR.

Julia Shvets is a doctoral candidate in economics at the London School of Economics andPolitical Science, a researcher at the Centre for Economic Performance, and Senior Economist atCEFIR.

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Table of Contents

Preface
1 Introduction 1
2 Accounting for Growth 9
2.1 The Productivity Challenge 17
2.2 The Investment Challenge 29
2.3 The 2001 Survey on Reform Priorities 38
3 The Political Context of Economic Reform 43
3.1 Government Accountability during the Yeltsin Presidency 45
3.2 Government Accountability during the Putin Presidency 56
4 Structural and Institutional Reforms 67
4.1 Incentives and Failure of the Post-Soviet Judicial System 69
4.2 Regulation and Rent-Seeking Bureaucracy 97
4.3 Banking-Sector Failure and Reform 106
4.4 Social-Sector Reforms 121
5 International Accountability: The Prospect of Accession to the World Trade Organization 135
5.1 Costs and Benefits of WTO Accession 135
5.2 Russian Accession Strategy and WTO Accession as an External Anchor 141
5.3 Accompanying Policies 142
6 Conclusions 145
Notes 151
References 155
Index 163
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