Formal and informal institutions and their hierarchy in the regulation of the forest lease in Russia

The aim of this study is to identify and analyse the institutionalarrangements that regulate the forest lease and related marketsof industrial timber in Russia. A theoretical framework is derivedfrom institutional economics. Institutions, their hierarchyand cohesion are surveyed at constitutional, collective-choiceand operational levels. The organization of the long-term forestlease and its contribution to the sustainable forest managementand development of forest industries are described and regionaldifferences in the organization of forestry are tested. In addition,the expected impacts of the new federal Forest Code are analysed.