History and Economy of Russia

1. History and Economy of Russia C/Maj Weisman MSG/CC

2. History Overview • Ancient Russia • Mongol Russia • Romanovian Russia • Napoleonic Russia • Revolutionary Russia • Soviet Russia • Modern Day Russia

3. Ancient Russia • Many different migrating peoples from different kingdoms • In 862 the Varangian leader Rurik led his people east across the Baltic Sea to modern day Russia and the city of Novgorod where he ruled • Started a long line of succession as the kingdom increased in size and adopted Eastern Orthodox as religion • In 1147 small town of Moscow established

4. Mongol Russia • Rule ended by invasion of Mongols in 1237 by Batu Khan • Very little happened in the next century • Moscow gained strength and overthrew Tartars under Ivan the Great • Ivan’s grandson, Ivan the Terrible, finally pulled together the country through domination and subjugation • At the beginning his reign was good, but got worse as he aged and his temper worsened • After Ivan the Terrible’s death there was no clear ruler for 8 years until the Romanov's came to power • Romanov's ruled for the next 304 years

5. Romanovian Russia • Peter the Great and Ivan shared power after their father’s death • Ivan eventually died and Peter took over • Peter modernized Russia to be more like western Europe, shaving off beards of men in his court, changing clothing rules, and increasing industrialization, and militarization • Peter’s son disagreed with him and fled to Vienna, however he later returned and was tried for treason and died from torture • Peter disliked Moscow and had the city of St. Petersburg built and made the new capital • Peter Ruled until 1725 • Later Catherine the Great came to power and reinstituted Peter the Greats policies of westernization and centralizing the government • She ruled until 1796 and shortly thereafter Alexander I came to power

6. Napoleonic Russia • Napoleon attempted to get Alexander I to surrender by invading Russia • Alexander I had his troops retreat slowly and destroy all homes and supplies as they retreated • Eventually their armies met 70 miles outside Moscow with no clear victor • Alexander I then had Moscow evacuated and all supplies destroyed • Napoleon seized Moscow only to find it devoid of people and supplies, and later that night the city caught fire • This left the French without supplies and shelter in the middle of winter, which lead to their fall

7. Revolutionary Russia • Since the reign of Ivan the Terrible, the Russian Tsars had followed a fairly consistent policy of drawing more political power away from the nobility and into their own hands • By the time of Catherine the Great, the Russian Tsars enjoyed virtually autocratic rule over their nobles • However, they basically purchased this power by granting nobles virtually autocratic power over the serfs, who by this time had been reduced to a state closer to slavery than to peasantry • After several more Tsars and World War I the climate had reached a boil and Russia went into revolution • Many different groups started uprising and each struggled for power for 3 years until the Bolsheviks emerged on top

8. Soviet Russia • Lenin was the first ruler and instituted a new economic policy (NEP) including elements of a free market to help with post war problems • Lenin ruled until 1924 when he was succeeded by Joseph Stalin who consolidated the state’s control over all aspects of Russia • Stalin waged many brutal campaigns to quell dissention • Russia allied with Allies in WWII but afterwards viewed them as an enemy • After WWII cold war started between Russia and the west over concerns that western economics and values were flawed • USSR finally collapsed in 1991 after economic collapse

9. Modern Day Russia • Struggling to become a democracy but held back by many economic problems, political corruption, and social inequality • Many were dependent on the USSR support network but now must find a way to support themselves without many jobs and high inflation • Population decline due to poor healthcare and poverty, it’s estimated Russia’s population will fall to 110 million by 2050

10. Economy Overview • Economy at a Glance • Economy from the end of the USSR to present • Russia and US economic relations • Economic Graphs

11. Economy at a Glance

12. Russian Economy • Russian economy underwent huge economic decline following collapse of USSR and soviet social net • “Economic Shock Therapy” instituted by Gorbachev which lead to a policy of glasnost, or openness within the media and arts, and perestroika • Perestroika (meaning economic reconstruction), was an economic policy of reduced subsidies to industry, allowing companies to go bankrupt, accepting unemployment and foreign investment, and restructuring the banking system • In 2006, Russia signed a bilateral market access agreement with the US as a prelude to possible WTO entry • Russia ended 2007 with its ninth straight year of growth, averaging 7% annually since the financial crisis of 1998. • Soaring oil prices have led to Russia being able to pay off much of it’s debt but Russia still lags behind many G8 countries

13. Russian Economy (cont)

14. Conclusion • History of Russia from ancient Russia to present • Soviet economic policies • Current Russian economy • US-Russian economic relations • Questions