Skip to main content Accessibility help
×
Hostname: page-component-848d4c4894-5nwft Total loading time: 0 Render date: 2024-05-17T21:11:40.236Z Has data issue: false hasContentIssue false

7 - Accounting for Regime Differences

Published online by Cambridge University Press:  05 June 2012

Thomas F. Remington
Affiliation:
Emory University, Atlanta
Get access

Summary

The preceding chapters presented evidence that differences in the structure of earnings are the major factor determining the level and distribution of incomes across Russia's regions. Taxation and social spending did little to mitigate the inequality generated in the marketplace, and while the shift to lower tax rates and a regressive tax scale in the 2000s generated greater revenues for federal and regional social programs, these did not overcome the widening in the dispersion of earnings across regions and economic sectors. We observed that more democratic regions tend to have higher levels of inequality but also higher levels of social spending, as well as higher overall wage levels. I argued that these regional regime differences are shaped by characteristics of firm-government relations that affect the climate for enterprise. In more open, pluralistic regions, political leaders provide enterprise directors more opportunities to participate in regional decision making and offer greater security from arbitrary treatment by government in return for firms' acceptance of their social responsibilities, including tax compliance. The greater security of political and economic rights of the more democratic regions is also manifest in the firms' greater tendency to invest in productive capacity, as well as in the tendency to experience lower levels of corruption. This is already a complex chain of causal inference, with gaps in the quantitative evidence that we have filled in with suppositions drawn from published case studies of individual regions.

Type
Chapter
Information
Publisher: Cambridge University Press
Print publication year: 2011

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Brown, Archie and Shevtsova, Lilia, eds., Gorbachev, Yeltsin, and Putin: Political Leadership in Russia's Transition (Washington, DC: Carnegie Endowment for International Peace, 2001)Google Scholar
Colton, Timothy J., Yeltsin: A Life (New York: Basic Books, 2008)Google Scholar
Taubman, William, Khrushchev: The Man and His Era (New York: W. W. Norton & Co., 2003)Google Scholar
Breslauer, George W., Khrushchev and Brezhnev as Leaders: Building Authority in Soviet Politics (London: Allen & Unwin, 1982)Google Scholar
Breslauer, George W., Gorbachev and Yeltsin as Leaders (Cambridge: Cambridge University Press, 2002)CrossRefGoogle Scholar
Alesina, Alberto, Baqir, Reza, and Easterly, William, “Public Goods and Ethnic Divisions,” Quarterly Journal of Economics 114:4 (1999): 1243–1284CrossRefGoogle Scholar
Easterly, William and Levine, Ross, “Africa's Growth Tragedy: Policies and Ethnic Divisions,” Quarterly Journal of Economics 112:4 (1997): 1203–1250CrossRefGoogle Scholar
Fearon, James D., “Ethnic and Cultural Diversity by Country,” Journal of Economic Growth 8 (2003): 195–222CrossRefGoogle Scholar
LaPorta, Rafael, Lopez-de-Silanes, Florencio, Shleifer, Andrei, et al., “The Quality of Government,” Journal of Law, Economics, and Organization 15 (1999): 222–279Google Scholar
Mauro, Paolo, “Corruption and Growth,” Quarterly Journal of Economics 110:3 (1995): 681–712CrossRefGoogle Scholar
Przeworksi, Adam, Alvarez, Michael E., Cheibub, Jose Antonio, et al., Democracy and Development: Political Institutions and Well-Being in the World, 1950–1990 (Cambridge: Cambridge University Press, 2000)CrossRefGoogle Scholar

Save book to Kindle

To save this book to your Kindle, first ensure coreplatform@cambridge.org is added to your Approved Personal Document E-mail List under your Personal Document Settings on the Manage Your Content and Devices page of your Amazon account. Then enter the ‘name’ part of your Kindle email address below. Find out more about saving to your Kindle.

Note you can select to save to either the @free.kindle.com or @kindle.com variations. ‘@free.kindle.com’ emails are free but can only be saved to your device when it is connected to wi-fi. ‘@kindle.com’ emails can be delivered even when you are not connected to wi-fi, but note that service fees apply.

Find out more about the Kindle Personal Document Service.

Available formats
×

Save book to Dropbox

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Dropbox.

Available formats
×

Save book to Google Drive

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Google Drive.

Available formats
×