Poverty and inequality in the light of modern approaches to overcoming Russian poverty

Abstract

The subject of the article is the phenomenon of poverty in light of the problems of excessive economic inequality, which is the main source of formation of Russian poverty, and indicative of institutional analysis which involves a critical revision of social-economic policy of the state instead of the official way of dealing with this problem without considering the reasons of its formation (targeting of poverty). The aim of the work is to update the cause-and-effect factors of poverty formation in Russia, the main of which is a critically high level of inequality with an assessment of the role, nature and causes of its causes. The hypothesis of the study is the thesis that the fight against poverty is ineffective based only on increasing the number and level of social payments and social programs, without taking into account the causes of poverty, thus not affecting any socio-economic processes for its formation. Meanwhile, both the indicative and institutional approach to the analysis of the main causes of poverty shows the dominant role of excessive inequality in the formation of the problem of Russian poverty. In turn, inequality is caused by the inefficiency of the state’s distributive and redistributive policies, caused by the lack of scientific conditionality and systematic political decisions.