Why does Russia have such a high literacy but such a low gross domestic product?

Answer 1

Universities in Russia are not that expensive and are seen like a great opportunity, not like a "must-go-there-to-get-a-job" thing like in the West; well that was my impression when I was there. Sure Russia isn't as competitive and industrialized as the US, but remember they turned capitalist only 22 years ago (they are learning fast though!). What's more, Russia is one of the world's major energy exporters (gas), many powerful companies have their head office in the Moscow's CBD, and Russia is also a big agricultural country (just look at its surface area).