The The origins and limits of the Russian model of neoliberal economic policy

Abstract

The article outlines the model of Russian economic policy that emerged on the eve of the 21^st century, in the aftermath of the consequential 1998 crisis. That crisis did not challenge the dominant – neoliberal – ideology that reigned in Russia since the fall of the Soviet Union. But it exacerbated the distributive conflict between the state and the big business, “oligarchy”, which eventually resulted in the victory of the state and in establishing a new balance of interests in the Russian establishment. The same crisis induced the government to follow rigorous macroeconomic regulation. The current crisis has not changed the essentially neoliberal nature of economic policy so far. Yet, as is shown in the paper, this crisis indicates at limits to the established model of economic policy.