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Journal Article

The Russian Crisis: Perils and Prospects for Post-Soviet Transition

Peter J. Boettke
The American Journal of Economics and Sociology
Vol. 58, No. 3 (Jul., 1999), pp. 371-384
Stable URL: http://www.jstor.org/stable/3487768
Page Count: 14
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The Russian Crisis: Perils and Prospects for Post-Soviet Transition
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Abstract

Since 1992, the rhetoric of Russian economic reformers has been one of full-speed ahead to a free-market economy. The reality, however, has diverged significantly from this rhetoric at both a broad "rules of the game" level and specific "policy within rules" level. The resulting ambiguity of the economic environment and the lingering effects of the previous system which is supposed to be reformed has led to a continued deterioration of the Russian economy. This paper offers a modified defense of "shock therapy" as a path to a cure for Russia's economic malaise, as opposed to the cure itself.

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