Search results

This chapter examines the effects of financial deepening on the sources of economic growth in Russia. Previous empirical literature based on cross-country studies presented the evidence that in developing countries financial development affects capital accumulation more than productivity growth. We tested this proposition with panel data from 75 regions of Russia’s regions between 2008 and 2015 using system generalized method of moments techniques. Our results are not consistent with this proposition: the effect of finance on output growth occurs primarily through productivity; the positive influence of finance on capital accumulation is less significant, which is more typical for developed countries. This outcome can be explained by the fact that structural problems in Russia and developed countries are somewhat similar. More helpful for Russian economy are tools that would help business get a more profound effect from efforts to promote innovation and boost productivity than from increasing investment by expanding credit.

This chapter examines the experience of Russia's cities in the implementation of smart solutions. Previous theoretical and empirical studies cover a variety of dimensions, involved in the concept of a smart city, and practical issues concerning technologies, urban management, business models which improve urban residents' quality of life through digital technologies, artificial intellect under the conditions of creating appropriate infrastructure. In this chapter, we present the results of the analysis of some significant information about smart solutions deployed in Russian cities nowadays. We show how smart solutions get allocated among Russian cities and among different domains of this kind of solutions. Unlike most of other countries, smart solutions in Russia are less concentrated in such domains such as sustainable development or transport. Instead, a large number of relevant projects in Russia are concentrated in the field of informatization of urban life and energy efficiency. This feature is associated with budget centralization, the implementation of national programs by the Russian Federal Government. Consequently, in general, the Russian model of a smart city is less focused on demand, but to a greater extent it can be classified as supply-driven.