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The fundamental problem of the Russian economy: human capital as a panacea from the raw disease of a country

The fundamental problem of the Russian economy: human capital as a panacea from the raw disease of a country

Journal of Institutional studies, , Vol. 7 (no. 1),

The paper outlines the urgent problems of modern Russia, as well as identified the fundamental problem hindering the successful development of the national economy. As a fundamental problem, the author defines the problem of the lack of diversification of the Russian economy. In the work proposed two global solutions to this problem: the intensive and extensive nature. Preference intensive approach to the resolution of pressing problems is justified. As the reference level intensive approach is the development of human capital. In the paper human capital is in general characterized, the evolution of the concept of human capital and the modern sense of the concept are given. The necessity to consider the human potential as the advantage of Russia is proved. Problems that hinder the development of human capital are identified and analyzed. Also some methods of the solution of those problems are presented. The research also identified the benefits of Russia from the point of view of the development of human capital in comparison with other countries, and identified the urgent problems that hinder its development. Analysis of the current situation from the point of view of limitations for successful human development and the factors hindering this development is provided.


Keywords: diversification; economic backwardness and economic growth based on natural resources; energy resources; human capital; education; investment; modernization; development

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Publisher: Ltd. "Humanitarian perspectives"
Founder: Ltd. "Humanitarian perspectives"
ISSN: 2076-6297