Interdependence of the Level and Structure of Household Income: The Case of Municipalities

The global literature extensively addresses the problem of uneven household income across regions, which is particularly evident in countries with vast territories. However, studies at the municipal level are scarce due to a lack of data. This article aims to explore the specifics and interrelations of income inequality and their sources, using the example of municipalities in the Russian Federation. The study focuses on six regions within the Ural Federal District, each exhibiting distinct economic development patterns. Utilizing resources from the Russian statistical agency and the authors’ methods for calculating and comparing income from various sources, the key relationships between the level and structure of population income in municipalities of the Ural Federal District were identified. In the northern regions (Yamal and Yugra), high household income is attributed to elevated wages for hired workers, while entrepreneurial income exerts minimal influence. In the southern regions (Sverdlovsk, Chelyabinsk, Kurgan, and Tyumen), mixed dynamics of mutual influence were observed. In large regional cities (Ekaterinburg, Tyumen, Chelyabinsk), high income levels are primarily attributed to a 50% share of entrepreneurial income. Overall, municipalities demonstrate a concentration of labor income ranging from 60% to 80%, with relatively low average per capita income for Russia.