The article discusses how the urban economy in Russia is influenced by the power economy, which can have both positive and negative effects. The positive impact includes making the urban economy more efficient by reorganizing city spaces. However, the negative side involves the development of corruption within the urban economy. The study suggests that transitioning from a corruption model to a corporate capitalism model is necessary for improving the quality of life in local communities. This transformation can only happen with increased social activity and modernization of social institutions.