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The Distributional Consequences of Russia's Transition

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  • Doyle, Christopher

Abstract

This paper considers the distributional consequences of the reform programme in Russia. Although a small fraction of the population have gained under the reforms, average real household per capita income has declined significantly with households at the lower end of the income distribution suffering the greatest fall. Consequently there has been a substantial rise in income inequality. Poverty has increased sharply with an estimated 18.5% of the population on incomes below the official subsistence income level at the end of 1992. This aspect of the transition programme is a disturbing feature and may give rise to further political instability. I present various estimates on the evolution of the income distribution. The transfer of assets through privatization, the distributional impact of the tax base and the fiscal relationship between the federal and local governments are also examined.

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Bibliographic Info

Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 839.

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Date of creation: Sep 1993
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Handle: RePEc:cpr:ceprdp:839

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Related research

Keywords: Income Distribution; Inequality; Poverty; Russia;

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Cited by:
  1. Cecilia Testa, 2005. "Reforms, lobbies and welfare: A common agency approach," Public Choice, Springer, vol. 125(3), pages 305-337, December.
  2. Bennett, John & Dixon, Huw David, 1995. "Macroeconomic equilibrium and reform in a transitional economy," European Economic Review, Elsevier, vol. 39(8), pages 1465-1485, October.
  3. Seeth, Harm Tho & Chachnov, Sergei & Surinov, Alexander & Von Braun, Joachim, 1998. "Russian poverty: Muddling through economic transition with garden plots," World Development, Elsevier, vol. 26(9), pages 1611-1624, September.

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