Framing Contemporary Russian Poverty in the Context of Different Nations

Abstract

Vasiliy Anikin — Associate Professor, Faculty of Economics, National Research University “Higher School of Economics”. Address: 20, Myasnitskaya St., Moscow, 101000, Russian Federation. E-mail: Vasiliy.anikin@gmail.com

Natalia Tikhonova — Professor, Faculty of Economics, National Research University “Higher School of Economics”. Address: 20, Myasnitskaya St., Moscow, 101000, Russian Federation. E-mail: ntihonova@hse.ru

This paper aims to compare the situation of poverty in Russia with the other BRIC countries as well as developed countries (Germany and Great Britain), representing various models of socio-economic development. It is shown that the specifics of poverty in a particular country can be considered correctly only if the stage in its historical development is accounted for. There are three major modes of structural poverty which correspond to different historical stages and economic systems — preindustrial, industrial, and post-industrial poverty. The paper also discusses how these types of poverty manifest themselves in the above-mentioned countries. It includes a brief overview of the determinants of poverty, i.e. not only structural causes, but also family and personal circumstances. It is shown that in comparison with other countries, the specificity of poverty in Russia is reflected in its exceptional heterogeneity as well as in the unique combination of various types and forms of poverty. However, it is also argued that the predominant type of poverty in Russia is industrial, supplemented in many cases by family and personal circumstances of people. It is concluded that the heterogeneity of poverty in Russia is determined by the multi-structural character of the Russian economy and the enormous differences in socio-economic development of various regions. Given such specificity and context, this paper also discusses a number of policy measures which may reduce poverty (related to investment, tax, immigration, social and other areas of public policy).