Social Networks in Transition
Inter-household transfers in Russia, Ukraine, and Latvia to provide an important supplement to individual incomes. These transfers are as high as in many developing countries. Transfers are from richer to poorer, from older to younger, and to femaleheaded households. We find no evidence that Russia has lower transfers than Ukraine, which has had relatively little reform. The high level of inter-household transfers may help explain why there has been so little social protest in Russia despite the large fall in measured real wages.
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