Abstract
Using a general method of moments (GMM) aggregate production function adjusted
for spatial autocorrelation, Russian regions 2001–2019 are found to exhibit no β
convergence/divergence before 2009, 1% convergence 2009–2014 and then none
again 2015–2019. Both human and physical capital contribute to aggregate growth
as neoclassical theory predicts. Spatial autocorrelation suggests the measurement of
spatial regional interdependence in Russia is more complex than in the U.S., EU or
Mexico with the standard use of adjacent borders or railroad distances data not cap‑
turing regional interdependency. At the beginning of 2020, Russia’s regions had not
transitioned to intensive instead of extensive growth making regional growth stagna‑
tion and no further convergence likely in the decade to come.
Original language | American English |
---|---|
Journal | Economic Change and Restructuring |
Volume | 56 |
DOIs | |
State | Published - Jun 26 2023 |
Disciplines
- Growth and Development
- Regional Economics
Keywords
- Convergence
- Russian regions
- human capital