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The Impact of Sectoral Structure on Job Creation and Distribution

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  • E. A. Edinak

    (Institute of Economic Forecasting, Russian Academy of Sciences)

Abstract

— The article considers one of the potential reasons for the situation when economic growth in the country does not transform into an increase in incomes of the population. This is the established sectoral structure of the economy, which determines the quantitative and qualitative characteristics of the jobs being created, their distribution by industries, as well as involvement in the process of distributing the added value created in the country. For the American and Russian economies, estimates are given reflecting the number of jobs produced by three groups of industries (high-tech, high-level medium-tech and science-intensive activities) in related industries (per 100 jobs). These estimates are derived from data of the National Accounts System. It is shown that in the Russian economy, consumer spending of a higher decile group to a greater extent forms the demand for products and services of service industries, which determines the maintenance of jobs in them that do not always require high qualifications, remuneration, and productivity. It is suggested that one of the requirements for the future structure of the Russian economy should be the quality of jobs created by it with an appropriate level of labor remuneration, making possible sustainable support and increase in the income of the middle class.

Suggested Citation

  • E. A. Edinak, 2024. "The Impact of Sectoral Structure on Job Creation and Distribution," Studies on Russian Economic Development, Springer, vol. 35(1), pages 1-12, February.
    • Handle: RePEc:spr:sorede:v:35:y:2024:i:1:d:10.1134_s1075700724010039
    DOI: 10.1134/S1075700724010039
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    References listed on IDEAS

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    1. Martin Neil Baily & Barry P. Bosworth, 2014. "US Manufacturing: Understanding Its Past and Its Potential Future," Journal of Economic Perspectives, American Economic Association, vol. 28(1), pages 3-26, Winter.
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    3. M. Yu. Ksenofontov & A. A. Shirov & D. A. Polzikov & A. A. Yantovskii, 2018. "Assessing Multiplier Effects in the Russian Economy: Input-Output Approach," Studies on Russian Economic Development, Springer, vol. 29(2), pages 109-115, March.
    4. M. Yu. Ksenofontov & D. A. Polzikov, 2018. "Retrospective Structural Shifts in the Russian Economy," Studies on Russian Economic Development, Springer, vol. 29(6), pages 625-636, November.
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