Subject. The institutional legacy of Soviet modernization, the resilience of regional economic systems today. Objectives. Defining the mechanisms for converting institutional heritage into the resources needed for economic modernization. Methods. General scientific research methods were applied. Results. An original two-level model of hybrid governance institutions is presented. It is shown that inherited competencies were not lost, but transformed into tools of post-Soviet regional policy aimed at modernizing the industrial complex, developing small and medium-sized enterprises, diversifying the economy, and creating new industries. Conclusions. The experience of the Republic of Tatarstan shows that an institutional trap can turn into a useful resource needed for development, as long as the internal 'safety loop' is maintained while still staying open to external markets and technologies.
Keywords: management methods, regional economy, trap and rut effect, modernization, Republic of Tatarstan
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