Transition and Regional Inequality in Russia: Reorganization or Procrastination?

October 1, 2002

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Irina Dolinskaya, and Irina Tytell. Transition and Regional Inequality in Russia: Reorganization or Procrastination?, (USA: International Monetary Fund, 2002) accessed November 24, 2024

Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary

This paper analyzes the evolution of interregional income inequality during transition in Russia. The transition matrix approach reveals that between 1991 and 1997 income mobility tended toward a highly uneven long-term distribution with the majority of regions at low income levels and a minority of higher-income regions, in sharp contrast to pretransition times. The ordered logit analysis suggests that the more successful regions prospered on account of their natural resources, while continuing to resist economic reorganization by supporting traditional enterprises. The less-successful regions appeared trapped at low income levels due to uncompetitive industries and lack of resources needed for restructuring.

Subject: Expenditure, Fiscal policy, Fiscal stance, Income distribution, Income inequality, National accounts, Personal income, Total expenditures

Keywords: Eastern Europe, Fiscal stance, Growth, Income, Income distribution, Income distribution, Income inequality, Income mobility, Income-GDP relationship, Inequality, Mobility group, Mobility pattern, Personal income, Total expenditures, Transition, Transition matrix, WP

Publication Details

Pages:

31
Volume:

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DOI:

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Issue:

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Series:

Working Paper No. 2002/169
Stock No:

WPIEA1692002
ISBN:

9781451858358
ISSN:

1018-5941

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