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A remote sensing look at the economy of a Russian region (Rostov) adjacent to the Ukrainian crisis

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  • Brock, Gregory

Abstract

Satellite data used in combination with a stochastic production function method reveal an inefficient formal economy in rural Rostov Oblast 2013–2015 embedded in an overall (formal and informal) relatively efficient economy with the measurement of both important to better understand non-economic impacts of sanctions. Increased military activity may have insulated the formal economy of the border area from poor economic performance and the deindustrialization that characterizes adjacent areas. The current Oblast Administration’s grant program to localities does not reward relatively efficient economic performance with a model suggested here to change the policy. The region’s economy has the ability to absorb many Ukrainian refugees though non-economic issues support the current assistance from other Russian regions in helping relocate refugees beyond Rostov region. Like other conflict zones, urban areas experience less of an impact relative to rural areas.

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  • Brock, Gregory, 2019. "A remote sensing look at the economy of a Russian region (Rostov) adjacent to the Ukrainian crisis," Journal of Policy Modeling, Elsevier, vol. 41(2), pages 416-431.
  • Handle: RePEc:eee:jpolmo:v:41:y:2019:i:2:p:416-431
    DOI: 10.1016/j.jpolmod.2019.02.013
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    Cited by:

    1. Zhentao Li & Tianzi Li, 2022. "Economic Sanctions and Regional Differences: Evidence from Sanctions on Russia," Sustainability, MDPI, vol. 14(10), pages 1-23, May.

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    More about this item

    Keywords

    Ukrainian crisis; Rostov; Remote sensing;
    All these keywords.

    JEL classification:

    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • P25 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Urban, Rural, and Regional Economics
    • F51 - International Economics - - International Relations, National Security, and International Political Economy - - - International Conflicts; Negotiations; Sanctions

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