Conversion of Russian Defense Industries: A Macroeconomic and Regional Perspective
This chapter explores a study of the conversion process in Russia from both a macroeconomic and a regional point of view, in the context of the global economic reshaping of Russia. It addresses how to devise a true stabilization policy and what might be a sensible economic policy for the next five to ten years. The chapter focuses upon the nature and problems. It discusses problem of recoupment time. The chapter describes the problem Russia faces of regional economic disintegration, first recalling economic trends toward regional segmentation predating the transition process and the effect of the first six months of 1992 upon this segmentation. It investigates the relation between the relatively high share of the military-industrial complex in industrial production and the process of regional economic differentiation, and proceeds to analyze the regional nature of Russian inflation and conversion.