Today, the situation in the North Caucasus, including – in Dagestan is under scrutiny of federal power. In particular, President Dmitry Medvedev said in his address to the Federal Assembly, called the situation in the region among the most difficult problems throughout Russia. How to help a region where unemployment and corruption for decades remained critically high, and the level of terrorist threat is only growing? As the experience of the 2000s, simple pumping budgetary resources does not solve the problem. Sooner or later, Moscow ridetsya seek more efficient and effective ways of development. In our opinion, one of the main causes of economic inefficiency in Dagestan lies in the extremely low degree of urbanization. Huge amounts of money, including received from Moscow, the republic is largely spent in recent years to maintain the tension and obviously inefficient infrastructure, which deprived Dagestan funds for further development. The main part of the budget of Dagestan, and a significant portion of GRP spent on maintaining infrastructure: social (schools, hospitals, etc.), engineering (roads, pipelines, etc.) and utilities.

Naturally, the higher the spatial infrastructure of prolixity, the lower the quality and the quality of its services. Urbanization, crowding can reduce the spatial dispersal of funds for infrastructure, and improve the quality of the infrastructure and services. What is the degree of urbanization in Dagestan? Formally, the cities of the country is home to about half the population. This is lower nationwide index, which is about 75%. But it – formally. Town in Dagestan, as a rule – this cluster of private houses in the presence of a few central streets with multi-storey buildings.

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