However, while the next decade could see continued economic growth for the increasingly rich few, the divisions in Russian society will continue to grow. That is the conclusion of Pekka Sutela Head of the Bank of Finland Institute for Economies in Transition in Helsinki, Finland, writing in the inaugural issue of the Inderscience publication the International Journal of Economic Policy in Emerging Economies.
Just two decades ago, the Soviet Union was almost entirely industrialized it lacked shops, restaurants, cafeterias, banks and other financial institutions, service stations, consultancies, travel bureaus, casinos and even gay bars, explains Sutela. Most of these feature heavily in a modern market economy and with the collapse of the Soviet Union, such services quickly emerged, first in Moscow and St. Petersburg, and increasingly across much of the country. The Ural and Volga regions have, adds Sutela, experienced high growth rates in retail trade and consumption, with the main demand coming from an increasingly rich middle class numbering in the hundreds of thousands.
Sutela points out that Russia in 2006 ranked eleventh in terms of the size of its economy, which is on a par with India, South Korea and Mexico. However, growth is rapid at around 4-6% each year, and although the Rouble remains an undervalued currency, he anticipates that by 2011, Russia may rank at number 8 in the economy league, close to Italy. Forecasting growth or recession after that year is, he says, more hazardous.
While investment is surging and the country is importing goods at an increasing rate, Sutela asks whether Russia will be able to increase energy production and exports. Moreover, can Russia diversify its products and services, boost exports and so maintain its current account surplus and at the same time provide jobs for a large if slowly decreasing labour force? In the final accounting can it sustain its increasingly wealthy middle class and solve the growing poverty of those at the bottom of society.
Jim Corlett | alfa
Microtechnology industry is hiring – positive developments of past years continue
09.04.2018 | IVAM Fachverband für Mikrotechnik
RWI/ISL-Container Throughput Index with minor decline on a high overall level
20.03.2018 | RWI – Leibniz-Institut für Wirtschaftsforschung
In a recent publication in the renowned journal Optica, scientists of Leibniz-Institute of Photonic Technology (Leibniz IPHT) in Jena showed that they can accurately control the optical properties of liquid-core fiber lasers and therefore their spectral band width by temperature and pressure tuning.
Already last year, the researchers provided experimental proof of a new dynamic of hybrid solitons– temporally and spectrally stationary light waves resulting...
Scientists from the University of Freiburg and the University of Basel identified a master regulator for bone regeneration. Prasad Shastri, Professor of...
Moving into its fourth decade, AchemAsia is setting out for new horizons: The International Expo and Innovation Forum for Sustainable Chemical Production will take place from 21-23 May 2019 in Shanghai, China. With an updated event profile, the eleventh edition focusses on topics that are especially relevant for the Chinese process industry, putting a strong emphasis on sustainability and innovation.
Founded in 1989 as a spin-off of ACHEMA to cater to the needs of China’s then developing industry, AchemAsia has since grown into a platform where the latest...
The BMBF-funded OWICELLS project was successfully completed with a final presentation at the BMW plant in Munich. The presentation demonstrated a Li-Fi communication with a mobile robot, while the robot carried out usual production processes (welding, moving and testing parts) in a 5x5m² production cell. The robust, optical wireless transmission is based on spatial diversity; in other words, data is sent and received simultaneously by several LEDs and several photodiodes. The system can transmit data at more than 100 Mbit/s and five milliseconds latency.
Modern production technologies in the automobile industry must become more flexible in order to fulfil individual customer requirements.
An international team of scientists has discovered a new way to transfer image information through multimodal fibers with almost no distortion - even if the fiber is bent. The results of the study, to which scientist from the Leibniz-Institute of Photonic Technology Jena (Leibniz IPHT) contributed, were published on 6thJune in the highly-cited journal Physical Review Letters.
Endoscopes allow doctors to see into a patient’s body like through a keyhole. Typically, the images are transmitted via a bundle of several hundreds of optical...
13.06.2018 | Event News
08.06.2018 | Event News
05.06.2018 | Event News
22.06.2018 | Materials Sciences
22.06.2018 | Earth Sciences
22.06.2018 | Life Sciences