• L. Abalkin - Russia's Pride and Pain (On the Book by
  R.A. Belousov "The Economic History of Russia: XX Century")

     The problem of interaction between Russian currency appreciation and positive dynamics of macroeconomic indicators is studied. Main economic factors of ruble appreciation are analyzed. Consequences of the Russian Central Bank's policy directed to oppose ruble appreciation and problems in financial area due to the increase of money supply through the exchange market are considered. Influence of exchange rate appreciation on economic growth, inflation, export, import, capital flows are discussed. It is concluded that Russian ruble appreciation stimulates an increase in efficiency of the Russian economy.

     Marxist concept of social development is analyzed on the basis of the twentieth century experience in the article. Theory of history is considered as the most important component of Marxism which contributes to the understanding of moderns historical trends, and especially the challenges of catching-up development. Authors explain renaissance of economic liberalism through the prism of Marxism and discuss the development of methodological tradition called "liberal Marxism".

     The article analyses privatisation processes in post-Soviet economies from a Coasian standpoint, with a focus on the Russian privatisation strategy, since its designers have attempted to justify it by references to the Coase theorem. However, more political targets have basically inspired the major programmes of privatisation in post-Soviet economies. The analysis shows that mass privatisation has benefited insiders, first of all incumbent managers. Although cash privatisation has reallocated a part of privatised assets, insiders and "oligarchs" still remain major winners. The latter took advantage of the rigged and infamous loans for shares scheme of privatisation which main effect was to stop the privatisation drive. Privatisation has recently been resumed on a case-by-case basis.

     Economic reforms in the post-Soviet countries have led to a number of unintended results. The explanation consists in not taking into consideration the institutional constraints existed in these countries, both formal and informal. In particular, the nature of authority relationship must be included in economic analysis. The unintended results of the privatization programs of the 1990s are discussed as an example. The emerged structure of property rights is far from being efficient (e.g., the corporative governance is weak) and socially just. However, the forced redistribution of property right will worsen the situation, as far as the nature of authority relationships - the imposed authority - remains constant.

     The problem of interaction between Russian currency appreciation and positive dynamics of macroeconomic indicators is studied. Main economic factors of ruble appreciation are analyzed. Consequences of the Russian Central Bank's policy directed to oppose ruble appreciation and problems in financial area due to the increase of money supply through the exchange market are considered. Influence of exchange rate appreciation on economic growth, inflation, export, import, capital flows are discussed. It is concluded that Russian ruble appreciation stimulates an increase in efficiency of the Russian economy.

     After the financial crisis at the end of the 1990 s many countries rejected fixed exchange rate policy. However actually they failed to proceed to announced "independent float" exchange rate arrangement. This might be due to the "fear of floating" or an irreversible result of inflation targeting central bank policy. In the article advantages and drawbacks of fixed and floating exchange rate arrangements are systematized. Features of new returning to exchange rates stabilization and possible risks of such policy for Russia are considered. Special attention is paid to the issue of choice of a "target" currency composite which can minimize external inflation pass-through.