Is There Convergence of Russia’s Regions? Exploring the Empirical Evidence: 1995 – 2010

Lehmann, Hartmut ; Silvagni, Maria Giulia (2013) Is There Convergence of Russia’s Regions? Exploring the Empirical Evidence: 1995 – 2010. Bologna: Dipartimento di Scienze economiche - DSE, p. 48. DOI 10.6092/unibo/amsacta/3779. In: Quaderni - Working Paper DSE (901). ISSN 2282-6483.
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Abstract

This paper analyzes convergence in per capita gross regional product of Russia’s regions during the period 1995-2010, when regional data are available. Using a panel regression framework we find no evidence for beta-convergence. Instead we find divergence, which is, however, attenuated over time. Robustness checks that use regional real income instead of gross regional product confirm this outcome as do non-parametric estimates of convergence, namely estimates using Markov transition probability matrices and stochastic kernel plots of regional relative income. Decompositions of regional income and gross regional product also find no sigma-convergence of Russian regions. These decompositions point to the geographical concentration of extractive activities in the Urals and of business services and of the public administration in the Moscow area as the main culprit for this lack of convergence. They also establish that despite reforms to equalize provisions of public goods across Russia, the social services sector of the public administration, education and health still do not have the expected equalizing impact on regional income.

Abstract
Document type
Monograph (Working Paper)
Creators
CreatorsAffiliationORCID
Lehmann, Hartmut
Silvagni, Maria Giulia
Keywords
Russian regions, convergence, regional inequality decomposition, regional distribution dynamics
Subjects
ISSN
2282-6483
DOI
Deposit date
13 Sep 2013 09:31
Last modified
01 Oct 2013 10:16
URI

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