Compare between Russia and America in Economic Essay - 1

Compare between Russia and America in Economic - Essay Example Apparently, with the advancement and reform in the environmental domain, nations’ were engaged in providing effective means of production and distribution to earn high competitive advantages. Thus, overall the concept of economic elaborates the process through which, the nation produces and distributes goods and/or services in a community for its all round development. Moreover, economics is identified as a widely extended concept, which is further sub-divided into different aspects including micro and macroeconomics. It is these distinctions made through the economic behavior of a country that indicates the underlying causes of why a nation performs better than the other or vice-versa (Stanford, â€Å"Economics for Everyone: On-Line Glossary of Terms & Concepts†). These underpinnings of economic assumptions can be better understood through the comparison of two economies, as is intended for this study. The two economies considered herewith are the American and the Russian economies. America, as an economic power, is often regarded one of the most technologically powerful nations, hosting a strong foundation of private businesses. Its skilled labor pool has also been one of the key drivers of its growth. Besides, the businesses in the US hold high level of flexibility in taking the key decisions concerning sustainable growth, which has further contributed towards the overall strengths of the economy (OECD, â€Å"OECD Economic Surveys: Russian Federation†; â€Å"OECD Economic Surveys: United States†). On the other hand, Russian economy had to undergo significant changes and reforms following the collapse of Soviet Union that in turn helped the economy become intensively market based. The reforms Russia had to witness during the ea rly 90’s of privatization have led to significant alterations in its economic model overall (OECD, â€Å"OECD