According to the CIA World Factbook, Russia has a mixed political economy, with some industries controlled by government central planners and others controlled by the private sector. During the Soviet era, Russia was a predominantly socialist economy, meaning that the government controlled nearly all industries. However, as the Soviet Union transitioned into the Russian Federation, the government passed many reforms which allowed for market-based competition in some industries. Nevertheless, there is still a high rate of government interference in private sector businesses, so Russia is far from pure capitalism.
The Russian government retains control of several major industries, specifically the transportation, banking, defense, and energy industries. The Russian economy is particularly reliant on the government-controlled oil and natural gas industries, so the recent plummet in oil prices has caused Russia to enter a severe recession.
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