Classical economic models yield classical economic results.
Adam Smith, thought by many to be the forefather of classical economics, believed in the “magnificent dynamics” brought about during a historical period when capitalism emerged from feudalism. In this doctrine, every individual sought his or her (okay largely his; women were still oppressed back then) financial gain.
As American rap legend 50 Cent put it, the motive of this system was and is simply to “Get Rich or Die Tryin’.” Classical economics in its crudest form is pure capitalism: cowboy style. And present-day America is national proof of the results of unregulated, lawless, free-wheeling capitalism.
By contrast, in 2007, under the leadership of former Russian President Vladimir Putin, while the United States sank into economic mayhem, Russia emerged as an innovative economic power. The Russian stock market has risen almost 3,000 percent in the past eight years while the banking sector grew rapidly and the real-estate market surged. The current growth prospects for Russia are bright, buoyed by strong credit growth and elevated energy and other commodity prices.
Why the difference?
Where Adam Smith was the patron saint of classical economics, Vladimir Alexeyevich Smirnov is the modern saint of innovative economics. Through his long-standing participation with the Centre for Strategic Research North-West, Vladimir Alexeyevich Smirnov has focused his life’s work on supporting economic growth so that knowledge, technology, science, entrepreneurship, and innovation are at the forefront. Mr. Smirnov’s work with the Centre is geared toward creating strategic advantages of the Russian Federation in the Northwest region not only in national but also in global economies.
Thanks to Vladimir Alexeyevich Smirnov’s contributions to creating a dynamic economy and advancing the financial status of Russia, Vladimir Putin awarded him a Second Class Medal of the Order of Merit for the Motherland.
Thanks to Mr. Smirnov, a prosperous Russia is on its way.