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Growth in post-Soviet Russia: A tale of two transitions

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  • Berkowitz, Daniel
  • DeJong, David N.

Abstract

In the early stages of post-Soviet Russia's economic transition, small-scale entrepreneurial activity appeared to be a strong engine of growth. Moreover, striking regional variations in initial conditions and adopted policy reforms appeared useful in accounting statistically for observed regional variations in entrepreneurial activity. Here, we investigate whether these relationships have persisted as Russia's transition has continued to evolve, and find that they have not. We then document that the emergence of bank-issued credit, virtually non-existent outside of Moscow prior to 2000, has been an important engine of growth since 2000. Thus to date, Russia's post-Soviet development appears as a tale of two distinct transition paths.

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Bibliographic Info

Article provided by Elsevier in its journal Journal of Economic Behavior & Organization.

Volume (Year): 79 (2011)
Issue (Month): 1-2 (June)
Pages: 133-143

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Handle: RePEc:eee:jeborg:v:79:y:2011:i:1-2:p:133-143

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Web page: http://www.elsevier.com/locate/jebo

Related research

Keywords: Economic transition Initial conditions Small enterprises;

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References

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Citations

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Cited by:
  1. Libman, Alexander, 2013. "Natural resources and sub-national economic performance: Does sub-national democracy matter?," Energy Economics, Elsevier, vol. 37(C), pages 82-99.
  2. Berkowitz, Daniel & Hoekstra, Mark & Schoors, Koen, 2012. "Does finance cause growth? Evidence from the origins of banking in Russia," BOFIT Discussion Papers 10/2012, Bank of Finland, Institute for Economies in Transition.
  3. Brousseau, Eric & Garrouste, Pierre & Raynaud, Emmanuel, 2011. "Institutional changes: Alternative theories and consequences for institutional design," Economics Papers from University Paris Dauphine 123456789/7073, Paris Dauphine University.
  4. Eller, Markus & Fidrmuc, Jarko & Fungácová , Zuzana, 2013. "Fiscal policy and regional output volatility: Evidence from Russia," BOFIT Discussion Papers 13/2013, Bank of Finland, Institute for Economies in Transition.
  5. Libman, Alexander & Obydenkova, Anastassia, 2013. "Communism or communists? Soviet legacies and corruption in transition economies," Frankfurt School - Working Paper Series 199, Frankfurt School of Finance and Management.
  6. Gluschenko, Konstantin, 2009. "Методы Анализа Межрегионального Неравенства По Доходам И Их Приложение К России
    [Methodologies of analyzing inter-regional incom
    ," MPRA Paper 18443, University Library of Munich, Germany.

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