Describes Russia's troubled economic transition since 1991, highlights the problem of institutional development, and surveys the challenges President Vladimir Putin faced in 2000. The first section provides a brief synopsis of liberalization, stabilization, and privatization under President Boris Yeltsin. The second section describes the economic difficulties Russia experienced during the 1990s involving demonetization, federalism, taxes, contract enforcement, the legal system, the 1998 financial crisis, and public health. Concludes with President Putin's political and economic plans.