Regional differentiation in the Russian federation: A cluster-based typification

also be considered a type of raw-materials-based regions. Moreover, Kamchatka
can be seen as a specially guarded entity. And all the three Oblasts should be
taken as «unable to be adapted» for newly created conditions.

4. Republics of Northen Caucasus can be regarded as traditionally backward
regions, but they should belong to a special group noted for commanding relatively
large internal reserves appropriate for self-development.

The above types of regions differ in economic climate, the degree of adaptation of
well-established economy for new performance conditions, and also differ in
substance and urgency of the dominant problem and government approach to
resolving it.

Along with «old» problems there emerged «new» ones because of changes in
political and economic situation of the country. New legislation governing the
formation and development of problem regions is being made, since these
regions are involved in external economic activities. New laws are primarily
intended for free economic and customs zones and border districts. The regions
which, despite all the «reforms»-related hard - ships and the ensuing drop in the
basic socio-economic indicators, retained their leadership in standardized
production industries (and there regions form a greater part of the subjects of RF),
can be included into category of developed (industrial and industrial-agrarian)
ones. In these regions, all the principal indicators of production output and living
standards are above those averaged throughout the country. This group of regions
largely includes the subjects of the Russian Federation that had mostly adapted to
new economic relations, can boast sufficient development potentialities and had
succeeded in entering the system of government control being established today.

At the same time, there are some subjects of RF among developed regions whose
economyis in critical situation. Their pre-reform period was characterized by
indicators exceeding the average throughout Russia, but these subjects failed to
adapt to new economic conditions. They need economic restructuring in order to
make the most of the industrial, research and human resources potentials, to
make the output more competitive, thus forming new economic ties. These districs
are thought to be those where military-industrial complex predominates and there
are cities and towns of no-admission type forced to restructure their pants, which is

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