Privatization of property in post-Soviet Russia: social radicalism and economic effectiveness

The article discusses the problems and social consequences of privatization of state property in Russia. The author analyses social content of property relations, their relationship with legal and economic relations and their influence on radical social changes in the life of Russia. Desocialization of property up to now was considered as a key strategy for economic reform, but its implementation did not lead to an increase in the efficiency of the economy and did not generate the owner who could operate under conditions of market competition. The article shows that technical potential of peace-time industries has decreased, the number of people employed in the industrial sector has decreased, the growth of high-tech and information services has lagged behind the needs of the innovative economy. The reasons for this downfall are rooted in insufficient prepara tion of the legal and institutional framework for the transformation of property relations, primarily with respect to large state-owned enterprises. The developed mixed economy evolves within the framework of the «power -property» system, which significantly reduces the independence of entrepreneurs, limits their investment activity, stimulates the «escape» of capital abroad and parasitic consumption. The structure of the economy - sectoral and by forms of ownership, as can be judged from the results achieved over two and a half decades, is not effective. In modern conditions for economic recovery and development there are no incentives that direct the creative energy of the most active subjects of development - entrepreneurs and the middle class. It can be assumed, that at the new stage of economic development, the role of the state and state enterprises will increase, but at the same time, it is necessary to improve the institutional conditions of entrepreneurial activity.