Abstract: the paper deals with the problem of Russia’s technological lag. Technological and economic inequality in Russia and in the world increases despite the processes of globalization and the development of communication tools. This determines the relevance of researches for internal contradictions and ways to overcome them. The institutional environment belongs to the category of internal factors of development. The industrial regions of Russia have capital and human resources to make a technological breakthrough, but the statistical analysis has demonstrated the increasing resource depletion. The regulatory environment as a synergy of formal and informal institutional business conditions in the Russian regions is unsatisfactory for the innovative development. This study aims to investigate the importance of the institutional environment for technological development and the dysfunction of the legal component for the successful new industrialization in the Russian regions. The methodological framework of the study includes the ideology of the new institutional and regional economy. The basic methods are monographic and structural-logical analysis. The author proposed approaches to assessing the impact of regulation on technological development. These approaches have the practical significance for civil servant.
Keywords: legal environment, regulatory environment, institutional environment, institutions and technologies, technological development, regional development, innovative development