Assess the Impact of Tsar Peter the Great and His Legacy on Eighteenth and Nineteenth Century European Russia and Its Role Among the European Great Powers.

Russia Economic transformation under Putin
By Anders Aslund

Eurasian Geography and Economics, 2004, 45 No 6,pp 397-420

The journal is a systematic account and analysis of Russia’s economic transformation under President Vladimir Putin. It covers the period from the financial crash of August 1998 thought the years of growth to August 2004. The journal discusses the financial stabilisation in the aftermath of the crash, the work of Putin’s first economic team, tax reform, trade policies and many other important economic transformations.

Anders Aslund begins the journal by discussing the extraordinary reversal in the Russian economy which was an economy on the brink of collapse to that of one of today’s most dynamic economies. He states that August 1998 was the dividing line in recent Russian economic history. From 1989 – 1998 the Russian GDP fell by 44% however since 1999 Russia achieved an average growth rate of 6.5% for a period of 5 years. Because the GDP has increased everything else such as inflation, budget balance and trade balance etc has improved accordingly. Aslund states that there are 5 main interpretations for this sudden growth. The first perception is that the causes were exogenous. Crude oil prices have risen dramatically over the years from $10 a barrel to above $40 a barrel thus providing much need profit to Russian oil producers. Secondly this that most of the new market economies in the former Soviet Union have recovered so as a result there is mass marketisation, financial stabilisation and privatisation. Thirdly it is suggested that the crisis itself created a number of opportunities for the political resolution of the underlying economic problems. Only when it was realised how costly and dangerous a persistently large budget deficit could be did it find sufficient unity to address and resolve the problems (Alesina and Drazen 1991). Fourthly was that Russia had reached the end of its revolution and was ready for post-revolutionary...