nep-cis New Economics Papers
on Confederation of Independent States
Issue of 2007‒05‒12
two papers chosen by
Anna Y. Borodina
Perm State University

  1. Skills Shortages and Training in Russian Enterprises By Hong Tan; Yevgeniya Savchenko; Vladimir Gimpelson; Rostislav Kapelyushnikov; Anna Lukyanova
  2. Estimating hedonic price indexes for personal computers in russia: Case of Yekaterinburg By Parkhomenko, Alexander; Redkina, Anastasia; Maslivets, Olga

  1. By: Hong Tan (World Bank); Yevgeniya Savchenko (World Bank); Vladimir Gimpelson (Higher School of Economics, Moscow and IZA); Rostislav Kapelyushnikov (Higher School of Economics, Moscow); Anna Lukyanova (Higher School of Economics, Moscow)
    Abstract: In the transition to a market economy, the Russian workforce underwent a wrenching period of change, with excess supply of some industrial skills coexisting with reports of skill shortages by many enterprises. This paper uses data from the Russia Competitiveness and Investment Climate Survey and related local research to gain insights into the changing supply and demand for skills over time, and the potential reasons for reported staffing problems and skill shortages, including labor turnover, compensation policies and the inhibiting effects of labor regulations. It discusses in-service training as an enterprise strategy for meeting staffing and skill needs, and presents evidence on the distribution, intensity and determinants of in-service training in Russia. It investigates the productivity and wages outcomes of in-service training, and the supportive role of training in firms’ research and development (R&D) and innovative activities. A final section concludes with some policy implications of the findings.
    Keywords: human capital, skills, training, employment protection legislation, transition, Russia
    JEL: J23 J24
    Date: 2007–04
  2. By: Parkhomenko, Alexander; Redkina, Anastasia; Maslivets, Olga
    Abstract: Economists have been noting for decades that Consumer Price Index (CPI) in the developed countries is overstating inflation by 0,5−2,0% per year. A significant part of the bias is due to the presence of technology products and differentiated products in the CPI basket. An increase share of these products in the Russian CPI may also lead to a substantial upward bias. Nowadays hedonic indices are believed to be the most efficient way to reduce this bias. They can be used in two ways: to estimate the bias in CPI and to elaborate alternative official price indices for information and communication technology (ICT) products. We estimate a 25% fall in the price of personal computers for 20 months (03.04-11.05) using this method. A 25−44% upward bias in price index for PC in Russia was also calculated. We have found that the Russian CPI could be upward biased by 0,18-0,32% per year due to new goods and quality change effects for PC (given 1% expenditure share).
    Keywords: CPI; price index; hedonic price index; CPI bias
    JEL: E31 C43
    Date: 2007–01–05

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