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Introducing New Family Support Benefits in Russia: an Estimate of Public Expenditures

Author

Listed:
  • Yelena I. Andreeva

    () (Financial Research Institute, Moscow 127006, Russia)

  • Dmitry G. Bychkov

    () (Financial Research Institute, Moscow 127006, Russia)

  • Olesya A. Feoktistova

    () (Financial Research Institute, Moscow 127006, Russia)

Abstract

In spite of the improvements in the demographic situation in Russia that have occurred in the 2000s and that have been triggered, among other things, due to the introduction of a number of new family support benefits and increasing amounts of the existing ones, the amount of family support benefits as percent of the GDP in Russia remains lower than it is in most European countries. The efficiency of such benefits as a policy method to increase the birth rate remains questionable as well. The paper presents an attempt to estimate the amount of federal government expenditures that will be required to fund new mean-tested family allowances introduced in Russia in the beginning of 2018 — the monthly allowance upon the birth of a first and/or a second child, and to estimate the effects of these allowances upon the poverty headcount and the income gap in Russia. The authors conclude that a clearer definition of the social policy goal, such as increasing the human capital of the new generation rather than increasing the birth rate, and finer tuning of benefit parameters, which would require harmonization of eligibility criteria for different family support measures and universal applicability of federal family support measures, disregarding the region of family’s residence, could increase the efficiency of these benefits as a poverty prevention tool and provide more universal and transparent social support to families.

Suggested Citation

  • Yelena I. Andreeva & Dmitry G. Bychkov & Olesya A. Feoktistova, 2018. "Introducing New Family Support Benefits in Russia: an Estimate of Public Expenditures," Finansovyj žhurnal — Financial Journal, Financial Research Institute, Moscow 127006, Russia, issue 2, pages 36-46, April.
  • Handle: RePEc:fru:finjrn:180203:p:36-46
    DOI: 10.31107/2075-1990-2018-2-36-46
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    References listed on IDEAS

    as
    1. Fabián Slonimczyk & Anna Yurko, 2013. "Assessing the Impact of the Maternity Capital Policy in Russia Using a Dynamic Model of Fertility and Employment," UCL SSEES Economics and Business working paper series 125, UCL School of Slavonic and East European Studies (SSEES).
    2. Zolotareva Anna & Misihina Svetlana & Nazarov Vladimir & Shatalov Stanislav, 2011. "The State and the Prospects of the Social Safety Net Development in the Russia," Research Paper Series, Gaidar Institute for Economic Policy, issue 156P.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    state social expenditures; social benefits; social transfers and entitlements; support of families with children; policies to support the birth rate;

    JEL classification:

    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • I39 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Other
    • H53 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Welfare Programs
    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth

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