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A Decomposition Analysis of Regional Poverty in Russia

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  • Stanislav Kolenikov
  • Anthony F. Shorrocks

Abstract

This paper applies a new decomposition technique to the study of variations in poverty across the regions of Russia. The procedure, which is based on the Shapley value in cooperative game theory, allows the deviation in regional poverty levels from the all-Russia average to be attributed to three proximate sources; mean income per capita, inequality, and local prices. Contrary to expectation, regional poverty variations turn out to be due more to differences in inequality across regions than to differences in real income per capita.

Suggested Citation

  • Stanislav Kolenikov & Anthony F. Shorrocks, 2003. "A Decomposition Analysis of Regional Poverty in Russia," WIDER Working Paper Series DP2003-74, World Institute for Development Economic Research (UNU-WIDER).
  • Handle: RePEc:unu:wpaper:dp2003-74
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    File URL: https://www.wider.unu.edu/sites/default/files/dp2003-074.pdf
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    References listed on IDEAS

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    1. Lehmann, Hartmut & Wadsworth, Jonathan, 2001. "Wage Arrears and the Distribution of Earnings in Russia," IZA Discussion Papers 410, Institute of Labor Economics (IZA).
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    4. Klugman, Jeni & Braithwaite, Jeanine, 1998. "Poverty in Russia during the Transition: An Overview," World Bank Research Observer, World Bank Group, vol. 13(1), pages 37-58, February.
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    6. Mikheeva Nadezhda, 1999. "Differentiation of Social and Economic Situation in the Russian Regions and Problems of Regional Policy," EERC Working Paper Series 99-09e, EERC Research Network, Russia and CIS.
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    8. Simon Commander & Andrei Tolstopiatenko & Ruslan Yemtsov, 1999. "Channels of redistribution: Inequality and poverty in the Russian transition," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 7(2), pages 411-447, July.
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