A Policy Relevant Study of the Contradiction Between Market Economy and Traditional Socio-Economic Development in the Russian Arctic

The development of the Arctic is a priority for the Russian government as it has great economic potential. However, the benefits for indigenous population are unclear, as economic expansion affects traditional livelihoods and social development, and oil and gas extraction affect the environment, as well as very little is known about the transformations in Russian indigenous communities. In this paper relevant policies and data analysis of economic development are used to identify gaps in the Arctic agenda of the Russian Federation. The research builds on the conceptual foundations of social-environmental frameworks, policy management and livelihoods. Statistical analysis is used to find correlations in socio-economic data published by The Federal State Statistics Service. The authors go on to propose new indicators for the assessment of traditional lifestyles. The results show that despite rapid development of the market economy, as well as an expansion of oil and gas companies’ activity in the Arctic, there are not enough policies to provide redistribution of the revenue to improve indigenous livelihoods. An evaluation of metrics and examination of related legislative documents as well as a literature review also support the idea that indigenous people benefit little from the current socio-economic situation.