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Convergence Patterns of Regional Income Inequalities in Russia

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  • Gluschenko, Konstantin

Abstract

The paper analyzes the evolution of dispersion of regional income inequalities in Russia in 1995-2022. The aim of the study is to reveal the ‘anatomy’ of regional inequality convergence that took place in 1995-2012, and the divergence that followed it, i.e. the internal structure of these processes. To this end, the paper explores the evolution of the regional Gini indices distribution, namely, that of main distribution statistics and the distribution itself (represented by a histogram). The results obtained suggest that convergence of regional levels of income inequality in Russia in 1995–2012 is almost exclusively due to "catching-up" of low-inequality regions with high-inequality regions. Therefore, this process cannot be considered positive. Divergence of regional inequalities in 2013-2022, on the contrary, was accompanied by a decrease in income inequalities in the regions, improving the situation with spatial inequality in Russia.

Suggested Citation

  • Gluschenko, Konstantin, 2023. "Convergence Patterns of Regional Income Inequalities in Russia," MPRA Paper 118055, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:118055
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    References listed on IDEAS

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    1. Romer, Paul M, 1986. "Increasing Returns and Long-run Growth," Journal of Political Economy, University of Chicago Press, vol. 94(5), pages 1002-1037, October.
    2. Gluschenko, K., 2012. "Myths about Beta-Convergence," Journal of the New Economic Association, New Economic Association, vol. 16(4), pages 26-44.
    3. Wodon, Quentin & Yitzhaki, Shlomo, 2006. "Convergence forward and backward?," Economics Letters, Elsevier, vol. 92(1), pages 47-51, July.
    4. Fahmida Khatun & Syed Yusuf Saadat, 2022. "The Optimum Level of Income Inequality in South Asia: An Econometric Analysis," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 23(1), pages 7-29, March.
    5. Venkatasubramanian, Venkat & Luo, Yu & Sethuraman, Jay, 2015. "How much inequality in income is fair? A microeconomic game theoretic perspective," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 435(C), pages 120-138.
    6. Sakiru Adebola Solarin & Sinan Erdogan & Ugur Korkut Pata, 2023. "Convergence of Income Inequality in OECD Countries Since 1870: A Multi-Method Approach with Structural Changes," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 166(3), pages 601-626, April.
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    More about this item

    Keywords

    income inequality; convergence; divergence; Gini index; Galton’s fallacy; Russian regions;
    All these keywords.

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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