Who lost Russia - RE WHO LOST RUSSIA One of the most...

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RE: WHO LOST RUSSIA One of the most important economic transitions of all time began with the fall of the Berlin Wall in late 1989. The first was Russia’s transition to communism seven decades earlier. Over the years, the failures of this first experiment became obvious. Because of the 1917 Revolution and the Soviet hegemony over a large part of the Europe after World War II, some 8% of the world’s population that lived under the soviet Communist system forfeited both political freedom and economic prosperity. The Second transition in Russia as well as in Eastern and Southeastern Europe is far from over, but this much is clear: In Russia it has fallen far short of what the advocates of the market economy had promised, or hoped for. For the majority or those living in the former Soviet Union, economic life under capitalism has been even worse tan the old Communist Leaders had said it would be. While Russia is an ever-unfolding drama, in the increases of output that have occurred in the years since its 1998 crisis as the beginning of a new growth (renaissance). Which this growth will lead to the recreation of the middle class, or just to take years to repair the damage of the past decade. Although incomes today are markedly, lower than they were a decade ago and the poverty is much higher. At the same time, pessimists see the country as a nuclear power, wavering with political and social instability. On the other hand optimists see a semi authoritarian leadership establishing stability, but at the price of the loss pf some democratic freedoms. After 1998, Russia experienced a burst growth, based on high oil prices and the benefits of the devaluation, which IMF so long opposed. However oil prices decreased, the benefits of the devaluation have been reaped, and the growth too has slowed. In the meantime, America and the Western European have control over the 1
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social and political evolution. Simultaneously it is clear that something has clearly gone wrong not only in Russia but also in most of the more than 20 countries that emerged from the soviet empire. The IMF and other Western leaders’ claim that matters would have been for worse were it not for their help and advice. Furthermore, IMF worried that the devaluation of the ruble would set off a round of inflation. In 1998 ruble finally devalued, but inflation did not soar (rise quickly) as the IMF had feared and then the economy experienced its first significant growth. The leaders of the 1917 Revolution recognized that there is more than one change in economics. It was a change in society in all of its dimensions. Therefore, too, the transition from communism to a market economy was more than just an economic experiment it was a transformation of societies and social and political structures. The first Revolution recognized how difficult the task of transformation was and
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This note was uploaded on 05/02/2008 for the course SOC soc101 taught by Professor Andreou during the Spring '08 term at SUNY Adirondack.

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Who lost Russia - RE WHO LOST RUSSIA One of the most...

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