The author reviews the process of economic reforms in the Russian Federation in 2004–2005 and assesses reform perspectives for the period of 2006–2008. In most of the reform areas Russia is still a long way from the level of OECD countries: outcomes for 2004 demonstrate that during 2003–2004 Russia joined the economies in transition with the slowest pace of reforms. The article analyzes the possibilities and obstacles for continuation of reforms within the next three years. The author concludes that in the mid-term perspective the pace of Russian economic reforms is unlikely to accelerate. There is a close positive connection between the pace of reforms and the rate of economic growth in transition economies; therefore, the slow pace of reforms will contribute to deceleration of economic growth. Consequences of the reform slowdown will become most visible beyond 2008.

     The paper deals with the issues of forming market economic institutions in the context of current discussions on intensification of and constraints to economic growth. These problems are considered from the perspective of both short-term and longer term objectives that imply securing economic growth: namely, stability and adjustability of the institutional environment, protection of property rights, development of formal and informal law enforcement institutions, corporate governance, bankruptcy, financial markets, among others.

     Electricity restructuring is intended to introduce competition into electricity production and supply, leaving dispatch, transmission and distribution as regulated natural monopolies with non-discriminatory third-party access to the networks. The aim of the reform is to ensure that supply continues to meet growing demand by creating conditions that will encourage investment and promote greater efficiency in both production and consumption. If the reform is to achieve its major goals, the marketised segments of the sector must be characterised by real competition based on economically meaningful prices. There are two dangers here. The first is that private interests will acquire substantial market power. The second is that the state itself will use the assets it retains, combined with the considerable regulatory powers at its disposal, to "manage" the market.

     The Russian government’s approval in May 2004 of the Concept of the Budget Process Reform started the budget reform that aims to refocus the budget process from cost to performance management. In the article the authors analyze different aspects of introduction of performance based budgeting methods in Russian practice as well as bottlenecks the budget reform faced at the first stage of its implementation: financing and management of federal target programs of social and economic development; assessment and control of the efficiency of budget outlays, etc.

     The article analyzes the conditions of formation of the Stabilization Fund and the Development (Modernization) Fund at the expense of rental incomes from oil mining as well as rent from natural gas, platinum, gold and diamonds mining. It is argued that using the above funds in the economy is relevant taking into account factors of economic growth.

     The author pays special attention to the USA leading positions in the world economy. The basic significance of traditional industries, first of all manufacturing, in the structure of the American economy and its evolution are underlined. The article analyzes in detail the increasing role of services including finance. Information technologies create new economic structure and new quality of economic growth. A reader learns from the article about sustainable reproduction role of business cycle in the past and present.

     After 1991 the legislative basis of education economy in Russia has evolved from late-Soviet constrained subjectiveness not to full subjectiveness but to its elimination. The legislature didn’t mark the difference between legal and economic norms, between the free character of education and its accessibility. As the author points out, the activity of all branches of state power in this sphere has committed deviations from constitutional norms as well as related federal codes and laws and their practical realization. These deviations have not allowed the educational system to function adequately. Some measures on improving the situation are considered in the article.

     The article summarizes main achievements in teaching methods of economics that being applied in business schools can help improve efficiency of economic education. More active advanced methods such as case studies, discussions, open essay type questions are used to stimulate analytical way of economic thinking.

     The specifics of private education is considered in the article. The author points out that the most relevant characteristic of this system in post-industrial society is its independence. Only independent private education can offer a non-standard approach allowing to individualize the process of education.