Despite the past up and down economic fluctuations, recently, Russia has become one of the leading economies in the world. Currently, it is the sixth largest economy in the world in terms of purchasing power parity and eleventh largest in terms of nominal value. …
Download file to see previous pages...
It is interesting to foresee what economic position Russia would gain by 2050. The collapse of Soviet Union in 1991 was a major event in the history of Russian economy. Since then, Russia has been trying to develop a market economy that would ensure consistency in economic growth. In 1991, Nikolayevich Yeltsin, the first president of the Russian Federation, announced that Russia would follow a radical as well as market-oriented reform along with the elements of ‘shock therapy’ (Basic Information on Russia). However, Yeltsin’s policy resulted in the economic collapse of Russia, which pushed millions of people into poverty. The removal of soviet price controls and 1998 Russian financial crisis resulted hyperinflation in different times. During this period, corruption and crimes immensely spread across the nation and worsened the situation. The Russian economy underwent severe difficulties during its transition from a centrally planned economy to a free market system. However, Russia could effectively overcome the serious financial crisis in 1998. During 2000-01, the country met its extra debt services, made huge advance payments on IMF loans, and also built up Central Bank reserves. In 2002, large current account surpluses considerably improved the trade and industry of the nation. As a result of higher Ministry of Finance and Eurobond payments, the country’s debt rose to $19 million in 2003. The Russian government established the Stabilization fund of the Russian Federation in 2004 with intent to address oil price falls. This provision brought fruitful outcomes to the Russian economy during the past few years. Vladimir Vladimirovich Putin became the president of Russia in 2000 and he continued until 7th May 2008 by winning the 2004 presidential election also. Under his period, Russia achieved tremendous economic growth. The nation’s real GDP growth for the last 10 years was 10% (2000), 5.1% (2001), 4.7% (2002), 7.3% (2003), 7.2% (2004), 6.4% (2005), 8.2% (2006), 8.5% (2007), 5.2% (2008), -7.8% (2009), and 4% (2010) (Global finance). Although the 2008-09 Russian financial crisis shook the economy, the present signs show that the country recovers faster. When many of the rich economies still struggle with 2008 global crisis, Russia’s faster recovery predicts a prosperous future for the country. The Russian economy successfully overcame the 1998 crisis. Subsequently, unemployment rate got decreased, and investment, production, and consumption got expanded. At the same time, the country has begun a series of fruitful economic reforms including enactment of fundamental tax reform and strengthening its banking system. Although, these improvements are potential enough to stabilize the future growth of Russian economy, the nation would face severe issues if it happened other way. The present trends show that the country maintains a promising GDP growth and a positive balance of payments; they would greatly contribute to the economic future of Russia. In addition, as reported in World Economic Forum, Russia keeps a potential collection of untapped energy resources, sustainability in low interest rates, strength in currency, and abundant liquidity. These economic features have the ability to raise Russia to the world’s top by 2050. The country’s inflation rate was very high (14.1%) in 2008 whereas, it fell to 11.7% and 6.9% in 2009 and 2010 respectively. The huge decrease of inflation rate from 14.1% in 2008 to 6.9% in 2010 indicates the strength of the country’s economic policies. Similarly, Russia also maintains a satisfactory employment rate over the past few years; the unemployment rate of the country was 6.4%, 8.4%, and 7.5% in 2008, 2009, and 2010
...Download file to see next pagesRead More
Cite this document
(“Where will Russia be in the Year 2050 Essay Example | Topics and Well Written Essays - 750 words”, n.d.)
Retrieved from https://studentshare.org/macro-microeconomics/1426227-where-will-russia-be-in-the-year
(Where Will Russia Be in the Year 2050 Essay Example | Topics and Well Written Essays - 750 Words)
“Where Will Russia Be in the Year 2050 Essay Example | Topics and Well Written Essays - 750 Words”, n.d. https://studentshare.org/macro-microeconomics/1426227-where-will-russia-be-in-the-year.
U.S. Demographics to the Year 2050 and the Outlook for Social Security
The success of the scheme highly depends on the ratio of the working class to retirees. There is one monumental challenge that the social security scheme faces; it must ensure that the income is always higher than the expenditure to ensure sustainability of the system.
However, its economic power has not pumped up the muscle of the former Soviet Union. While the land mass of Russia is larger than any nation-almost twice that of the United States-its economy is only the ninth largest in the world (Weidenbaum 2004, p. 681).
Usually GDP is calculated with the following formula: consumption plus gross investment plus government spending plus (exports minus imports). This will usually bring a good idea of the country’s economic output—however, it is important to remember that most
ers for Russia to focus on the lawful exercise of federal authorities in relation to the Northern Caucasus, it is rather concerned with the compliance of the Transcaucasian independent states to the policies regarding international organizations. The establishment and agreement
However, the system once adopted and appreciated by governments and their civilians many years down the line is in the modern times questioned, over its suitability in remaining the global reserve currency, come 2050.
As a consequence of the universal importance of energy, it is of utmost magnitude that different actors affected by the energy industry, for instance, the consumers of energy, leaders in government, actors in the energy sector,
It does not occur in vacuum as it shows a strong influence of broader challenges that face the post-communist world. Russian politics occur in the framework of federal semi presidential republic. The Constitution of Russia
The concepts of economics fundamentally relates with the understanding of how a society manages scarcity or abundance of resources to accelerate growth prospects and well-being. It is thus that the economics of a nation is perceived to deal with the interaction of different
ally, Vikings formed an economic unit and embracing a collective name Rus, which with time adopted the natives’ way of life due to the trade they had with Byzantine Realm. Similar to the Russian chronological origin account, its culture highly esteems family and homeland
5 Pages(1250 words)Essay
GOT A TRICKY QUESTION? RECEIVE AN ANSWER FROM STUDENTS LIKE YOU!
Let us find you another Essay on topic Where will Russia be in the Year 2050 for FREE!