Where Do Public Workers Live Well? Public-Private Wage Gaps in Russia's Regions

Anna Sharunina

Journal of the New Economic Association, 2016, vol. 30, issue 2, 105-128

Abstract: In this paper we investigate regional public-private wage differentials in Russia. Using the October survey data for the period 2005-2013, we show that there are significant regional differences in wage gap. Subsequently, the relationship between variation of wage gap and socio-demographic regional characteristics was examined. The results show that regional differences in the wage gap are caused mainly by regional structure of employment and impact of the economic and budgetary capacity of regions. The study shows that the underpayment of public sector workers (relative to similar private sector workers) is greater in regions with high GDP per capita and a low share of transfers to the regional budget. Furthermore, a large concentration of public service consumers leads to a large cross-sector wage gap.

Keywords: public private wage gap; public sector; regions; Russia (search for similar items in EconPapers)
JEL-codes: J31 J45 (search for similar items in EconPapers)
Date: 2016
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:nea:journl:y:2016:i:30:p:105-128

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