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The investment drought of 2013-2015 in Russia is the first prolonged period of no capital investment growth in the last 17 years. After stagnation in 2013-2014, fixed capi tal investments in real terms have systemically lagged behind industrial output growth and GDP. Lack of capital expenditures not only lowers demand and inhibits growth of construction, machinery, industrial production and the economy as a whole, but also pre serves existing structural imbalances and technological gaps in thedoi:10.1016/j.ruje.2017.02.005 fatcat:rlxaux2jgbd5zg3ub2pkgeal5e