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How and why transition made income inequality increase in urban Russia: a local study

Citation

Gustafsson, Björn & Nivorozhkina, Ludmila (2005). How and why transition made income inequality increase in urban Russia: a local study. Journal of Comparative Economics, 33(4), 772-787.

Abstract

Using sample surveys from the city of Taganrog in 1989 and 2000, we investigate household income, its composition, and its distribution in urban Russia. Income inequality increased greatly as real income at the lowest part of the distribution decreased considerably. Earnings are more concentrated in the upper part of the income distribution in 2000 than in 1989. For many households, public transfers, allowances, private transfers, or subsidiary earned income prevented income from falling further. However, Russia did not inherit from its Soviet past an efficient progressive tax system or programs to protect jobless workers and households facing severe drops in income.

URL

http://dx.doi.org/10.1016/j.jce.2005.08.001

Reference Type

Journal Article

Year Published

2005

Journal Title

Journal of Comparative Economics

Author(s)

Gustafsson, Björn
Nivorozhkina, Ludmila