ABSTRACT
This chapter analyzes the structure of GDP and GDP growth in Russia for the studied period from 1990 to 2019, including contribution of stock-building, private consumption, government consumption, gross fixed investment, and external balance to real GDP growth. This chapter points to an increasing role of private consumption in real GDP growth in Russia. At the same time, the role of government consumption in the real GDP growth in Russia slowly declines. This increasing contribution of private consumption and the declining role of government consumption in real GDP growth go in line with the rational expectations based on Russia’s transition to the predominantly market economy. This chapter demonstrates the negative effect that the external balance has on economic growth in Russia during most of the studied period. This chapter also clarifies effect of gross fixed investment on economic growth. The study of the dynamic in the value of the contribution of external balance to real GDP growth in Russia finds that when values of other macroeconomic indicators decline, the value of external balance contribution to real GDP growth becomes more significant. This is characteristic for 1999, 2009, and 2015, i.e. years immediately following the crises years.
