The asymmetric spatial effects for eastern and western regions of Russia
The purpose of this study is to identify the spatial effects of the main macroeconomic indicators of the eastern and western regions of Russia. These regions differ significantly in population density and the distances between cities. The main research question we are interested in is the following: how are events occurring in one of the western regions, such as economic growth or a decrease in the unemployment rate, effecting similar indicators in other western and eastern regions. The spatial effects of the western and eastern regions, when considered separately, may differ both qualitatively and with of the ‘flow on effect’. The determinants of the same macro-economic indicators in the eastern and western regions may also differ. In order to test the hypothesis of a possible difference in the spatial effects and determinants for these regions, we have developed a special class of model with four spatial matrices (west-west, east-east, west-east, and east-west) and a double set of control variables (one for each type of region). As the macroeconomic indicators monitor the rate of unemployment in the region, the real regional wage and GRP growth for the year were chosen for our models. We controlled the variables describing the socio-demographic situation in the region, migration processes, economic development, and export-import activity in the region. The models were estimated by the Arellano-Bond method on panel data for Russian regions over 2000-2010. Our analysis revealed, 1) a positive spatial correlation of the main macroeconomic indicators for the western regions, 2) both positive and negative externalities for the eastern regions and 3) the asymmetric influence of eastern and western regions on each other. Usually “impulses” from the western regions have a positive effect on the eastern regions, but the “impulses” from the eastern regions usually do not affect the western regions.
|Date of creation:||2014|
|Publication status:||Published in WP BRP Series: Economics / EC, February 2014, pages 1-17|
|Contact details of provider:|| Postal: Myasnitskaya 20, Moscow 101000|
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- Konstantin A. Kholodilin & Aleksey Oshchepkov & Boriss Siliverstovs, 2012.
"The Russian Regional Convergence Process,"
Eastern European Economics,
M.E. Sharpe, Inc., vol. 50(3), pages 5-26, May.
- Konstantin A. Kholodilin & Aleksey Oshchepkov & Boriss Siliverstovs, 2012. "The Russian Regional Convergence Process," Eastern European Economics, Taylor & Francis Journals, vol. 50(3), pages 5-26, May.
- Konstantin A. Kholodilin & Alexei Oshchepkov & Boriss Siliverstovs, 2009. "The Russian regional convergence process," KOF Working papers 09-216, KOF Swiss Economic Institute, ETH Zurich.
- Fuchs-Schündeln, Nicola & Izem, Rima, 2012. "Explaining the low labor productivity in East Germany – A spatial analysis," Journal of Comparative Economics, Elsevier, vol. 40(1), pages 1-21.
- Rima Izem & Nicola Fuchs-Schuendeln, 2007. "Explaining the Low Labor Productivity in East Germany - A Spatial Analysis," 2007 Meeting Papers 378, Society for Economic Dynamics.
- Ye.A. Kolomak (firstname.lastname@example.org ), 2010. "Spatial externalities as a source of economic growth," Journal "Region: Economics and Sociology", Institute of Economics and Industrial Engineering of Siberian Branch of RAS, vol. 4.
- Olivier Parent & James Lesage, 2005. "Bayesian Model Averaging for Spatial Econometric Models," Post-Print hal-00375489, HAL.
- Olivier Parent & James P. Lesage, 2007. "Bayesian Model Averaging for Spatial Econometric Models ," University of Cincinnati, Economics Working Papers Series 2007-02, University of Cincinnati, Department of Economics.
- Olga Demidova & Marcello Signorelli, 2012. "Determinants of youth unemployment in Russian regions," Post-Communist Economies, Taylor & Francis Journals, vol. 24(2), pages 191-217, January.
- Oleg Lugovoy & Vladimir V. Dashkeyev & Ilya Mazaev & Denis Fomchenko & Albert Hecht, 2007. "Analysis of Economic Growth in Regions: Geographical and Institutional Aspect," Published Papers 5, Gaidar Institute for Economic Policy, revised 2007.
- Mark D. Partridge & Marlon Boarnet & Steven Brakman & Gianmarco Ottaviano, 2012. "Introduction: Whither Spatial Econometrics?," Journal of Regional Science, Wiley Blackwell, vol. 52(2), pages 167-171, 05. Full references (including those not matched with items on IDEAS)
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