Showing papers by "National Research University – Higher School of Economics published in 1994"

Political tendencies in Russia regions - evidence from the 1993 parliamentary elections

Abstract: Most analyses of the consequences of the December 1993 elections have focused on the State Duma that was elected and its likely role in the Russian political process at the national level. The purpose of this study is to go beyond the more obvious impact of the elections to examine underlying patterns and tendencies that could be significant for Russia's future as a federal, multiethnic state. Data on voting for the parliament by party list permit for the first time a systematic, multidimensional comparison of political tendencies in Russia's regions.

How Large Was the Output Collapse in Russia? Alternative Estimates and Welfare Implications

Abstract: The divergence between production and consumption indicators in Russia suggests that the magnitude of the output collapse in the course of the transition is overstated by the official statistics. Alternative estimates for real GDP are derived, which reconcile the official production and consumption data. Based on cautious assumptions, real GDP appears to have declined cumulatively by no more than one third rather than by one half. The drop in household welfare is much smaller still, as the output mix shifts and deadweight losses are sharply reduced.

Distributional consequences of the Russian price liberalization

Abstract: The Russian price liberalization was implemented in January 1992 amid great controversy, and debates have continued with undiminished intensity. Despite the controversy, the Russian government had little choice but to go ahead. The attempt to retain fixed prices in an inflationary environment had brought the food economy nearly to a halt in autumn 1991; marketing fell sharply, inventories expanded, and barter increased. This created severe problems for an economy as dependent on internal trade in food as was the case in the USSR. There was a high likelihood of full-scale collapse, both of marketing and production in spring and summer 1992, had prices not been liberalized. Ideally price liberalization would have been implemented in an environment with economic infrastructure conducive to competition, for example, private ownership, clear channels for the flow of information on markets, and well-developed transportation for new interregional flows. But none of this was in place in January 1992 because necessary measures were not taken immediately after the August coup, nor had they been taken by prior governments. The severity of pending collapse in the food sector, however, meant that the liberalization could not be postponed. Foremost among many areas of concern regarding food price liberalization was the impact on the welfare and nutrition of the poor. This article focuses on the short-term distributional impact of liberalization

The transformation of the regional fiscal system in Russia : the case of Yaroslavl

Abstract: The paper looks at the transformation of intergovernment fiscal relations from the point of view of a regional administration in Russia. It also describes changes in local fiscal management. The Yaroslavl region faces a set of budgetary problems typical for Russian regions in the transition, ranging from budget preparation and managements, scale of extrabudgetary financing and expenditure verification. The paper shows what the actual priorities of regional government policy are, how these priorities are determined and through which channels and mechanisms they are implemented. Between 1990 and 1993, the manner in which the oblast's budget was prepared, approved, and implemented changed considerably, as did the relationship between the oblast and the federal authorities. However, many vestiges of the former system remain. The central government still exerts control over some aspects of the regional budgets, and oblast, city and rayon budgets are not fully separated. But decentralization is proceeding at a brisk pace, faster than the federal authorities can codify the rules for the game. The resulting uncertainty sets the stage for bargaining with the central government and rent-seeking behavior on the part of the region. The allocation of expenditures between federal and regional governments continues to be a very murky process, particularly with respect to the so-called 'national economy' expenditure terms, which include expenditures on industry, agriculture, transport, and other infrastructure. The shift in expenditure responsibility in the social areas, however, has been consistent almost all such responsibilities have been devolved down to the regions, cities and rayons.

Economic Reforms in Kyrgyzstan

Abstract: Article describes Kyrgyzstans achievements in the stabilization and liberalization of the economy and the majority of progress in this area that occurred in the first half of 1994.One may include Kyrgyzstan in the group of states that have adopted the radical variant of transition to market economics, a group to which the majority of Central European states and the above mentioned Baltic states belong. Kyrgyzstan has become a clear leader in economic transformation in Central Asia. Moreover, the progress in this area has been accompanied by a broad democratization of political life and an open, pro-Western orientation in foreign policy. These economic and political reforms represent the effect of the political course embarked upon in 1991 by the president of the republic, Askar Akayev. Thus far, they have made Kyrgyzstan an oasis of democracy and social peace in a region wracked by powerful ethnic and religious conflicts and whose political and economic regimes are of a significantly less liberal and democratic character and possess strong elements of the post-communist or even neo-communist order.