ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Russia has a market-based economy with a high level of state involvement, and many government officials are quite wealthy. The Russian currency is the ruble. One ruble is worth approximately $0.016 U.S. dollar.

Detailed explanation-2: -The Russian economy is volatile. Since 1989 its institutional environment was transformed from a socialist command economy to a capitalistic market system.

Detailed explanation-3: -Some examples of countries that have command economies are Cuba, North Korea and the former Soviet Union.

Detailed explanation-4: -The Russian economy is considered to be a mixed economy, which is a mix of free market economies, where the economy is determined by the buyers and sellers, and command economies, where the economy is controlled by the government.

Detailed explanation-5: -The Soviet command economy coordinated economic activity through the issuance of directives, by setting social and economic targets, and by instituting regulations. Soviet leaders decided on the state’s overarching social and economic goals.