Additional Information In lieu of an abstract, here is a brief excerpt of the content: Peterson Institute for International Economy: Center for Strategic and International Policy; Moscow: Aslund, Guriev, and Kuchins, eds.
Given the high stakes involved, it is imperative to read Russia "right. In the years before he was appointed Prime Minister and then elected President, Mr.
Putin defended a Candidate of Sciences kandidat dissertation at the St. Petersburg Mining Institute in Neither the thesis nor the summary Avtoreferat have been publicly available since Mr.
Several people who claim to have read these works state that the thesis deals with three main subjects: Petersburg and Leningrad Oblast to facilitate resource exports. While we have no way of proving the extent to which these writings influenced subsequent policy, developments since the arrest of Mikhail Khodorkovskii are in important ways consistent with the views expressed in Mr.
This can be best facilitated by fostering large firms that will be capable of competing on equal terms with Western transnational corporations.
While the policies should rely on market mechanisms, the interests of the Russian state and people and Russian corporations must be protected. Achieving this level of growth is possible if Russia establishes large financial-industrial corporations capable of competing with Western multi-nationals in energy and natural resources.
Along with fostering these large firms, the state must regulate the extractive complex using "purely market methods.
The large number of "company towns," in the sector gives it a crucial role in preserving social stability. Putin recognizes some limits on what may be expected even if the resource sector performs well.
The sector cannot finance the development of domestic processing industries, nor can it employ everyone: Putin repeatedly emphasizes that restructuring the resource sector to improve its performance is the most important issue for Russian economic growth.
Enormous investments will be needed just to maintain current production levels.
Integrating the processing industry with the extractive industry is one key to improving conditions. The most promising way to accomplish this is by creating large financial industrial groups FIGs.
These companies will allow Russia to move away from reliance on outmoded technologies and they will be able to raise capital on Russian and international markets to locate and develop new deposits.
These new companies must take the lead in building up the economy, providing revenue and jobs, and promoting economic integration within Russia, with the CIS and with the world economy. The resource sector is too important to be left entirely to market forces:For discussion in detail, see Harley Balzer, “The Putin Thesis and Russian Energy Policy,” Post-Soviet Affairs 21, no.
3 (): –25; and Ulrich G. Klaus and Thomas Waelde, “The Role of State Control over Natural Resources and. Harley Balzer, The Putin Thesis and Russian Energy Policy, 21 POST-SOVIET AFF.
, () (quoting V. V. Putin, Mineral’no-syr’evyye resursy v strategii razvitiya Rossiyskoy ekonomiki [Mineral natural resources in the strategy for development of the.
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