The Economic Reform Process in Russia

  title={The Economic Reform Process in Russia},
  author={John C. Odling-Smee and Henri R Lorie},
Although various factors point to a more arduous and longer transition in Russia than in Eastern Europe, the broad policy approach should be similar. A necessary condition for effective macroeconomic stabilization is the imposition of hard budget constraints on enterprises. Financial assistance from the Government and the central bank to enterprises must be strictly controlled to ensure compatibility with both inflation objectives and the creation of incentives for reform. While Russia needs… CONTINUE READING