Emerging capitalism in Russia and China: implications for Europe

This paper compares the evolution of capitalism in Russia and China and the implications of these transitions for Europe. The framework we utilise includes six variables developed by Lane (2006) that provide insights into the types of capitalism developing in each country. We see the role of the state as being pervasive and a major determinant of the progress toward capitalism in both countries. We conclude that the central state role, concurrent with the development of a market sector, constitutes a dualistic approach to capitalism. We provide implications for Europe of the evolving capitalism in these two transitioning economies.