2008 Drama: From Economic Miracle to Economic Crisis

Abstract

The paper discusses the roots of the current global economic crisis and anti-crisis policies. The depth of the crisis is explained by interconnection of different factors, among others: globalization with the highest world economy growth rates that resulted in accumulation of deep disproportions; failures of economic policy in leading industrial nations (including pro-cyclical policy in the US); problems of Russian economic policy substantially deteriorated at the times of high oil prices; important changes in the technological basis of economic development. This is followed by the analysis of specific features of anti-crisis policy in Russia comparing with Western developed economies. Stagflation is considered to be the key challenge for Russia while other countries are fighting deflation.