This book argues that Russia has struggled under autocratic power and that this continues to affect economic development today. A 'cult of power' has underpinned legal nihilism, distrust, secrecy and aversion to transparency and accountability. Informal institutions are more important than formal institutions, and influence macroeconomic development. Property and power are merged while property rights are weakly developed. Russia does not only face market failure, but also hierarchy and network failure. A system of values and social practices, with deep historic roots, constitutes perhaps the most formidable obstacle to social and economic development.
By exploring the operating mechanisms of the Russian economy in a comparative perspective, and with fascinating insights into how a socio-economic infrastructure has been created which continues to exert an influence on modern-day Russia and limits its development, this book is an essential read for all interested in the Russian economy and modern Russian history.

The Political Economy of Independent Ukraine analyses the reasons for the abysmal economic performance of Ukraine during the 1990s. The main thesis is that economic development was blocked by a set of parasitic mechanisms at all levels of the economy that prevented the development of value-added economic activities. These parasitic mechanisms already developed under Soviet rule ('beating the system' by redistributing goods and services while disregarding formal rules) became a widespread practice.

Hans van Zon analyzes the financialization of developed capitalism, and argues that the emergence of finance as a dominant force has contributed to the relative decline of the West. He demonstrates that the neo-liberal model is inherently unstable and undermines capitalist economies, which can only function if they are embedded in institutions that are non- or even pre-capitalist. He shows how a toxic combination of financialization, corporate globalization, and a deregulated and parasitic financial industry have led to structural economic stagnation in both the USA and the greater part of the EU.

Hans van Zon analyzes the financialization of developed capitalism, and argues that the emergence of finance as a dominant force has contributed to the relative decline of the West. He demonstrates that the neo-liberal model is inherently unstable and undermines capitalist economies, which can only function if they are embedded in institutions that are non- or even pre-capitalist. He shows how a toxic combination of financialization, corporate globalization, and a deregulated and parasitic financial industry have led to structural economic stagnation in both the USA and the greater part of the EU.

The Political Economy of Independent Ukraine analyses the reasons for the abysmal economic performance of Ukraine during the 1990s. The main thesis is that economic development was blocked by a set of parasitic mechanisms at all levels of the economy that prevented the development of value-added economic activities. These parasitic mechanisms already developed under Soviet rule ('beating the system' by redistributing goods and services while disregarding formal rules) became a widespread practice.