IDEAS home Printed from
   My bibliography  Save this article

Russia's transition process in the light of a rising economy: Economic trajectories in Russia's industry and agriculture


  • Peter Voigt
  • Heinrich Hockmann


Over the recent years Russia has faced an astonishing economic growth, coinciding with the era of Vladimir Putin's presidentship. Accordingly, it is not surprising that commonly these rising economic trajectories are attributed to progress in terms of transition initiated and further triggered by Putin's government. This paper is trying to investigate empirically whether the current growth in Russia tends to be caused mainly by (1) success of transition or just by (2) favourable external circumstances such as rising prices for oil, gas, etc. Thus, analytically, progress in transition has been approximated by efficiency estimates, which are - from a theoretical point of view - expected to be rising in course of transition of a formerly planned economy towards a free market system. In order to capture potentially different trajectories of several sectors and regions industry and agriculture have been considered separately, each at regionally aggregated level over a period of 11 years. In general, little evidence of the anticipated rising trends could be found. Instead, notable ups, downs and divergences among regions and sectors were uncovered. According to this analysis, Russia's current growth rates cannot be attributed to general success of transition. Instead, besides reaping the benefits of favourable external circumstances at world markets, from an empirical point of view, scale effects and slightly rising productivity appear to be the main causes of the recent track record. Moreover, in the industry the trend is also triggered by technological progress, which may indicate the turnaround after a decade of decline and give a reason to believe in an initiation of a long-term growth process. Unfortunately, in agriculture little evidence for such a sustainable growth process was evident so far. In general, the inter-sectoral integration in Russia's economy seems to be still quite low.

Suggested Citation

  • Peter Voigt & Heinrich Hockmann, 2008. "Russia's transition process in the light of a rising economy: Economic trajectories in Russia's industry and agriculture," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 5(2), pages 251-267, December.
  • Handle: RePEc:liu:liucej:v:5:y:2008:i:2:p:251-267

    Download full text from publisher

    File URL:
    Download Restriction: no


    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. Gregory Yom Din, 2013. "Performance and profit sensitivity to risk: a practical evaluation of the agro-industrial projects developed by Israeli companies for the CIS and Eastern European countries," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 1(1), pages 1-23, December.
    2. Gregory Yom Din, 2013. "Performance and profit sensitivity to risk: a practical evaluation of the agro-industrial projects developed by Israeli companies for the CIS and Eastern European countries," Demography, Springer;Population Association of America (PAA), vol. 1(1), pages 1-23, December.
    3. Belyaeva, Maria & Hockmann, Heinrich & Koch, Friedrich, 2014. "Impact of regional diversity on production potential: an example of Russia," 142nd Seminar, May 29-30, 2014, Budapest, Hungary 168924, European Association of Agricultural Economists.
    4. Raisa Shepitko & Tatiana Dugina, & Alexander Nemchenko & Eugene Likholetov, 2015. "Multifactorial Vector of Regional Agriculture Development," Economy of region, Centre for Economic Security, Institute of Economics of Ural Branch of Russian Academy of Sciences, vol. 1(4), pages 275-288.
    5. Gataulina, Ekaterina & Hockmann, Heinrich & Strokov, Anton, 0. "Production Risk, Technology and Market Access in Different Organisational Forms: Evidence from Tatarstan and Oryol," Quarterly Journal of International Agriculture, Humboldt-Universität zu Berlin, vol. 53.

    More about this item


    Russia ; transition progress ; sector/regional comparison ; TFP ; efficiency;

    JEL classification:

    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • P27 - Economic Systems - - Socialist Systems and Transition Economies - - - Performance and Prospects


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:liu:liucej:v:5:y:2008:i:2:p:251-267. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Piero Cavaleri). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.