nep-cis New Economics Papers
on Confederation of Independent States
Issue of 2020‒06‒29
seventeen papers chosen by
Alexander Harin
Modern University for the Humanities

  1. Legalization of social entrepreneurship in Russia and abroad: trends and development prospects By Barkov, Alexey (Барков, Алексей); Grishina, Yana S. (Гришина, Яна); Zolotova, Olesya (Золотова, Олеся); Leskova, Yulia (Лескова, Юлия); Pisarev, Georgiy (Писарев, Георгий)
  2. The Important Role of Equivalence Scales: Household Size, Composition, and Poverty Dynamics in the Russian Federation By Abanokova, Kseniya; Dang, Hai-Anh H.; Lokshin, Michael M.
  3. Анализ изменений социального положения населения Российской Федерации By Avraamova, Elena (Авраамова, Елена); Loginov, Dmitriy Mikhailovich (Логинов, Дмитрий Михайлович); Polyakova, Alexandra (Полякова, Александра); Chumakova, Yulia (Чумакова, Юлия); Eliseeva, Marina (Елисеева, Марина)
  4. Political connections and the super-rich in Poland By Katarzyna Sałach; Michał Brzeziński
  5. Подходы к определению оптимальных санкций за картели By Pavlova, Natalia (Павлова, Наталья)
  6. Poverty in Russia: the Role of the Marital Status and Gender By Victoria Maleeva; Majlinda Joxhe; Skerdilajda Zanaj
  7. Analysis of alternatives for the interaction of power structures and local communities in Russian and foreign agrarian reforms of the XX-XXI centuries By Nikulin, Alexander (Никулин, Александр)
  8. Denmark and Russia: What can we learn from the historical comparison of two great Arctic agricultural empires? By Elena Korchmina; Paul Sharp
  9. The Bonding Effect of Deferred Compensation: Worker Separations from a Large Firm in Early Transition Russia By Ananyev, Mikhail; Dohmen, Thomas; Lehmann, Hartmut
  10. Patterns of formation of the assortment of exports of Russian firms By Kuznetsov, Dmitriy (Кузнецов, Дмитрий)
  11. Republic of Belarus; Technical Assistance Report-Report on External Sectoral Accounts Mission (November 11-22, 2019) By International Monetary Fund
  12. Republic of Uzbekistan; Technical Assistance Report-External Sector Statistics Mission (October 15-26-, 2018) By International Monetary Fund
  14. Divided We Stay Home: Social Distancing and Ethnic Diversity By Georgy Egorov; Ruben Enikolopov; Alexey Makarin; Maria Petrova
  15. International Migration: The Political and Legal Dimension By Malakhov, Vladimir (Малахов, Владимир); Simon, Mark (Симон, Марк); Motin, Alexander (Мотин, Александр); Letnyakov, Denis (Летняков, Денис); Kascian, Kirill (Касцян, Кирилл); Novikov, Kirill (Новиков, Кирилл)
  16. Анализ механизмов религиозной радикализации молодёжи и сопоставление вариантов противодействия её проявлениям (на примере Северного Кавказа) By Starodubrovskaya, Irina (Стародубровская, Ирина)
  17. Ukraine; Request for Stand-by Arrangement-Press Release; Staff Report; and Statement by the Executive Director for Ukraine By International Monetary Fund

  1. By: Barkov, Alexey (Барков, Алексей) (The Russian Presidential Academy of National Economy and Public Administration); Grishina, Yana S. (Гришина, Яна) (The Russian Presidential Academy of National Economy and Public Administration); Zolotova, Olesya (Золотова, Олеся) (The Russian Presidential Academy of National Economy and Public Administration); Leskova, Yulia (Лескова, Юлия) (The Russian Presidential Academy of National Economy and Public Administration); Pisarev, Georgiy (Писарев, Георгий) (The Russian Presidential Academy of National Economy and Public Administration)
    Abstract: The experience of legislative regulation of social entrepreneurship in the EU, USA, Canada, Great Britain and South Korea is analyzed. Recommendations on the legalization of social entrepreneurship in the Russian Federation are formulated.
    Date: 2020–03
  2. By: Abanokova, Kseniya; Dang, Hai-Anh H.; Lokshin, Michael M.
    Abstract: Hardly any literature exists on the relationship between equivalence scales and poverty dynamics for transitional countries. We offer a new study on the impacts of equivalence scale adjustments on poverty dynamics in the Russian Federation, using equivalence scales constructed from subjective wealth and more than 20 waves of household panel survey data from the Russia Longitudinal Monitoring Survey. The analysis suggests that the equivalence scale elasticity is sensitive to household demographic composition. The adjustments for the equivalence of scales result in lower estimates of poverty lines. We decompose poverty into chronic and transient components and find that chronic poverty is positively related to the adult scale parameter. However, chronic poverty is less sensitive to the child scale factor compared with the adult scale factor. Interestingly, the direction of income mobility might change depending on the specific scale parameters that are employed. The results are robust to different measures of chronic poverty, income expectations, reference groups, functional forms, and various other specifications.
    Keywords: poverty,poverty dynamics,equivalence scale,Russia,panel survey
    JEL: I30 J10 O15
    Date: 2020
  3. By: Avraamova, Elena (Авраамова, Елена) (The Russian Presidential Academy of National Economy and Public Administration); Loginov, Dmitriy Mikhailovich (Логинов, Дмитрий Михайлович) (The Russian Presidential Academy of National Economy and Public Administration); Polyakova, Alexandra (Полякова, Александра) (The Russian Presidential Academy of National Economy and Public Administration); Chumakova, Yulia (Чумакова, Юлия) (The Russian Presidential Academy of National Economy and Public Administration); Eliseeva, Marina (Елисеева, Марина) (The Russian Presidential Academy of National Economy and Public Administration)
    Abstract: The study is aimed at analyzing changes in the social status of the population of the Russian Federation in 2015-2019. and developing, on its basis, proposals for adjusting social policy measures. For this, a comprehensive analysis of indicators affecting the social well-being of the population and its behavior strategies was performed. The study is based on the results of statistical analysis and monitoring of the social well-being of the population, implemented by the Institute of Social Analysis and Forecasting of the RANEPA since 2015. Assessment of changes was carried out in the context of various fields of activity and indicators, providing for the analysis of the current economic situation, including sociological monitoring of the situation in the household sector, assessment of the impact of negative effects in the economy on the situation of households and adaptive behavior of the population.
    Date: 2020–03
  4. By: Katarzyna Sałach (Faculty of Economic Sciences, University of Warsaw); Michał Brzeziński (Faculty of Economic Sciences, University of Warsaw)
    Abstract: We use newly collected original panel data on the super-wealthy individuals in Poland (observed over 2002-2018) to study the impact of the rich’s political connections on their wealth level, mobility among the rich and the risk of dropping off the rich list. The multimillionaires are classified as politically connected if we find reliable news stories linking their wealth to political contacts or questionable licenses, or if a person was formerly an informant of communist Security Service or member of the communist party, or when the origins of wealth are connected to the privatization process. We find that political connections are not associated with the wealth level of Polish multimillionaires, but that they are linked to the 20-30% lower probability of upward mobility in the ranking of the rich. Moreover, being a former member of the communist party or secret police informant increases the risk of dropping off the Polish rich list by 79%. Taken together, our results show that, contrary to some other post-socialist countries such as Russia or Ukraine, there is little evidence that the Polish economy suffers from crony capitalism.
    Keywords: the super-rich, billionaires, oligarchs, wealth inequality, top wealth, political connections, crony capitalism, Poland
    JEL: D31 D63 P36
    Date: 2020
  5. By: Pavlova, Natalia (Павлова, Наталья) (The Russian Presidential Academy of National Economy and Public Administration)
    Abstract: Against the background of a high level of cartelization of the Russian economy, the question arises of assessing the existing system of sanctions for cartels and its compliance with the criteria of optimality. The work demonstrated that the problem of the insufficiency of fines imposed to ensure optimal deterrence of character not only for Russia, but also for other countries. This creates the basis for the use of other forms of sanctions, in particular, the ban on certain activities and imprisonment. The article assesses some initiatives of the antimonopoly body to tighten criminal sanctions for cartels.
    Date: 2020–03
  6. By: Victoria Maleeva (Department of Economics and Management, Université du Luxembourg); Majlinda Joxhe (Department of Economics and Management, Université du Luxembourg); Skerdilajda Zanaj (Department of Economics and Management, Université du Luxembourg)
    Abstract: Contrary to conventional thinking, this paper shows that divorced women exhibit lower levels of poverty than divorced men. We use data from the Russian Longitudinal Monitoring Survey (RLMS- HSE) for the period of 2010-2017. The result remains qualitatively invariant when considering assortative mating along education to alleviate possible endogeneity between divorce and poverty. Investigating an inter-related dynamic model of poverty and female labor market participation, we find that higher female labor participation partly explains why a divorce is harder on husbands than on wives.
    Keywords: Divorce; Gender; Russia; Labor Market; Dynamic Bivariate estimation; Longitudinal Survey.
    JEL: I31 I32 J12 J16 J60
    Date: 2020
  7. By: Nikulin, Alexander (Никулин, Александр) (The Russian Presidential Academy of National Economy and Public Administration)
    Abstract: The research aims at identifying the key Russian and foreign alternative directions of rural development in the 20th century related to the transformation of its basic elements such as large (corporate/collective) and small (family) agricultural production, agricultural and non-agricultural activities in rural areas, state administration and self-government in rural areas, and long-term demographic and social-economic trends of rural development. The retrospective and futurological study of the interaction of social-economic institutions of rural development allows, first, to reveal the challenges of multipolar rural differentiation typical for all BRICS countries to a greater or lesser extent; second, to identify the obvious strategic and interconnected directions of the agrarian policies of the BRICS countries.
    Date: 2020–03
  8. By: Elena Korchmina (NYU Abu Dhabi, Higher School of Economics (Moscow)); Paul Sharp (University of Southern Denmark, CAGE, CEPR)
    Abstract: We propose that the “historically relevant” comparison of the Danish and Russian Empires from the early eighteenth century until the First World War presents a useful starting point for a promising research agenda. We motivate the comparison, noting that the two empires enjoyed striking geographical, political and institutional similarities. Beyond this, we also demonstrate that the two empires were bound together by war, royal marriage, and migration. We suggest some examples of what might be investigated, with a particular focus on agriculture, due to its importance to both Danish and Russian economic history. Finally, we zoom in on the role Danish experts played for developing the Russian butter industry.
    Keywords: Agriculture, comparative studies, Denmark, Russia
    JEL: N01 N53 N73 N93
    Date: 2020–06
  9. By: Ananyev, Mikhail (IZA); Dohmen, Thomas (University of Bonn and IZA); Lehmann, Hartmut (University of Bologna)
    Abstract: Deferred payments, as implicit contracts, are predicted to bind workers to firms as long as workers believe that firms adhere to these implicit contracts. We employ a unique personnel data set from a Russian manufacturing firm to investigate whether wage arrears, delayed payments of wages, induce bonding effects. We find that workers' separation rates decrease dramatically when workers experience wage arrears, providing evidence for the bonding effects of deferred compensation schemes. After workers are repaid nominal wages, but have suffered real wage losses due to unexpectedly high inflation, we observe that workers affected by wage arrears again become much more likely to separate during and after the repayment period of a second episode of wage arrears, providing evidence for the weakening of the bonding effect after the firm's reputation for adequately compensating for deferred payments has been jeopardized.
    Keywords: deferred compensation, worker turnover, wage arrears, personnel data, Russia
    JEL: J30 J63 M52 P23
    Date: 2020–06
  10. By: Kuznetsov, Dmitriy (Кузнецов, Дмитрий) (The Russian Presidential Academy of National Economy and Public Administration)
    Abstract: In the presented paper cross-sectional and time-series patterns of the formation of the export product scope of Russian manufacturing enterprises are studied. The main conclusions of the analysis can be formulated as follows. Firstly, in the detailed data of Russian exports indicate that the relatively greater importance of the specific competencies of firms (specific productivity) compared to the efficiency of managing business processes in an enterprise (company-wide productivity). Secondly, there is a dependence of the Russian firms export product scope and its concentration on the various characteristics of importing countries, reflecting, among other things, the proximity of the market and the local level of competition. It is further demonstrated that the shocks of competition levels in export markets translate into firm productivity shocks through redistribution of resources within firms. These shocks can make a significant contribution to the dynamics of productivity of manufacturing enterprises. Thirdly, the most successful products of the company are products of high quality. Fourth, the formation of the export product scope of Russian firms takes place mainly in the direction of goods close to the current basket of export firms in terms of labor structure, as well as the structure of intermediate consumption. To a somewhat lesser extent, the “export proximity” of goods is associated with vertical production ties between sectors. In turn, the proximity of the product to the comparative advantages of the region increases the likelihood of exporting this product and is positively related to the volume of exported goods.
    Date: 2020–03
  11. By: International Monetary Fund
    Abstract: At the request of the Belarusian authorities, a technical assistance (TA) mission on sectoral financial accounts and financial balance sheets (FABS) was conducted during November 11–22, 2019. The principal purposes of the mission were to review with the National Statistical Committee of the Republic of Belarus (Belstat) current data sources; identify data sources that needed to be improved; demonstrate how to construct the tables; and prepare a work plan. The mission found that many of the data required are currently available, while pointing out areas where improvements could be made. Accordingly, there is a strong basis for Belstat to begin an initial, exploratory compilation of the FABS for 2017.
    Date: 2020–06–09
  12. By: International Monetary Fund
    Abstract: At the request of the Republic of Uzbekistan authorities for technical assistance (TA) on external sector statistics (ESS), and with the support of the Middle East and Central Asia Department (MCD) of the International Monetary Fund (IMF), a mission from the IMF Statistics Department (STA) visited Tashkent during October 15–26, 2018. This was the first TA mission under the auspices of the Data for Decision Fund and the second since the Republic of Uzbekistan Presidential Order of September 12, 2017, “On Measures to Ensure the Accessibility and Openness of Economic and Financial Data for the Republic of Uzbekistan” was issued.
    Date: 2020–06–09
  13. By: Anatoliy Kostruba (Vasyl Stefanyk Precarpathian National University)
    Abstract: Відповідно до публічних відомостей, наданих міжнародною громадською організацією Transparency International, Україна посідає 130 місце зі 180 за рівнем корумпованості бюрократичного апарату влади. Відтак, метою державної політики протидії корупції є виявлення та подолання її соціальних передумов і наслідків корупційних дій. Одним із чинників боротьби з корупцією став Закон України від 07.04.2011 р. № 3207‑VI «Про внесення змін до деяких законодавчих актів України щодо відповідальності за корупційні правопорушення», яким встановлена кримінальна відповідальність за незаконне збагачення. Кримінальний кодекс України було доповнено ст. 368-2 «Незаконне збагачення». Чи є наведений склад ефективним засобом протидії корупційним явищам в Україні — питання сьогоднішньої дискусії. Чинна редакція цієї статті передбачає кримінальну відповідальність за незаконне збагачення, що визначається як «набуття особою, уповноваженою на виконання функцій держави або місцевого самоврядування, у власність активів у значному розмірі, законність підстав набуття яких не підтверджено доказами, а так само передача нею таких активів будь-якій іншій особі». Отже, диспозиція цієї статті встановлює презумпцію винуватості особи у вчиненні нею злочину. Розширене тлумачення поняття «будь-якій іншій особі», яке міститься в абз. 1 ч. 1 ст. 368-2 Кримінального кодексу України, є нетиповим для кримінального права України в контексті вимог ст. 19 Конституції України та створює передумови для протиправного втручання в особисте життя, право на яке гарантовано ст. 32 Конституції України за формальними ознаками.
    Date: 2018–07–05
  14. By: Georgy Egorov; Ruben Enikolopov; Alexey Makarin; Maria Petrova
    Abstract: Voluntary social distancing plays a vital role in containing the spread of the disease during a pandemic. As a public good, it should be more commonplace in more homogeneous and altruistic societies. However, for healthy people, observing social distancing has private benefits, too. If sick individuals are more likely to stay home, healthy ones have fewer incentives to do so, especially if the asymptomatic transmission is perceived to be unlikely. Theoretically, we show that this interplay may lead to a stricter observance of social distancing in more diverse and less altruistic societies. Empirically, we find that, consistent with the model, the reduction in mobility following the first local case of COVID-19 was stronger in Russian cities with higher ethnic fractionalization and cities with higher levels of xenophobia. For identification, we predict the timing of the first case using pre-existing patterns of internal migration to Moscow. Using SafeGraph data on mobility patterns, we confirm that mobility reduction in the United States was also higher in counties with higher ethnic fractionalization. Our findings highlight the importance of strategic incentives of different population groups for the effectiveness of public policy.
    JEL: D64 D74 I12
    Date: 2020–05
  15. By: Malakhov, Vladimir (Малахов, Владимир) (The Russian Presidential Academy of National Economy and Public Administration); Simon, Mark (Симон, Марк) (The Russian Presidential Academy of National Economy and Public Administration); Motin, Alexander (Мотин, Александр) (The Russian Presidential Academy of National Economy and Public Administration); Letnyakov, Denis (Летняков, Денис) (The Russian Presidential Academy of National Economy and Public Administration); Kascian, Kirill (Касцян, Кирилл) (Center for the Study of Ethnic and Linguistic Diversity (Prague)); Novikov, Kirill (Новиков, Кирилл) (The Russian Presidential Academy of National Economy and Public Administration)
    Abstract: International migration is so diverse, complex and controversial that the development of a coherent approach to its regulation is perhaps one of the most difficult problems in the emerging system of international governance. First of all, there is a conflict between migration policy and international law. Migration policy is considered the prerogative of nation-states, and the latter are guided by the imperatives of "national egoism." At the same time, the laws of national states enshrined the obligations to protect human rights formulated in international law. For all the severity of this collision, it cannot be argued that it is absolutely insoluble. Its solution (which each time occurs ad hoc) consists in balancing between pragmatic egoism and moral imperatives. A typical example of such ad hoc balancing is the decision of Angela Merkel to cancel the Dublin Agreement in September 2015. A number of observers argued that humanitarian rhetoric at the time of the decision to simultaneously allow an unprecedented number of refugees into the country was nothing more than a cover for a perfectly rational calculation. The political and legal dimension of the problem also lies in the opposition of two attitudes regarding the optimal immigration policy: “open”, “liberal”, on the one hand, and “closed”, “illiberal”, on the other. The personification of these two poles is the dispute between Angela Merkel and Victor Orban.
    Keywords: international migration, international law, global governance, national interest, international institutions, russian migration policy
    Date: 2020–03
  16. By: Starodubrovskaya, Irina (Стародубровская, Ирина) (The Russian Presidential Academy of National Economy and Public Administration)
    Abstract: This paper examines the approaches and theories that have become widespread in the analysis of the process of radicalization and religiously motivated violence. The development of intellectual thought in this area went through two main stages. At the first stage, research focused on the problems of terrorism without a special analysis of its religious motivation. At the second stage, the focus was on issues of Islamic radicalization and religiously motivated violence. The analysis of these problems has become more specific, radicalization has become regarded as a process.
    Date: 2020–03
  17. By: International Monetary Fund
    Abstract: Ukraine’s track record in macro-stabilization over the last 5 years and under successive Fund programs has been strong, but the goal of robust and inclusive growth remains elusive in the absence of sustained and comprehensive structural reform. Political circumstances were auspicious to address this long-standing challenge, with the President’s anti-corruption platform supported by an unprecedented absolute majority in parliament. However, the outbreak of the COVID-19 pandemic has significantly worsened the outlook and has refocused government policies on containment and stabilization. Uncertainty is large, and the economy is projected to contract sharply as strict containment measures—in Ukraine and globally—led to sizable falls in domestic and external demand. The budget is expected to be hit hard, with a sharp decline in revenues and large emergency spending needs to address the crisis. This, together with the de facto closure of capital markets, has created an urgent balance of payments need.
    Keywords: Stand-by arrangements;
    Date: 2020–06–11

This nep-cis issue is ©2020 by Alexander Harin. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
General information on the NEP project can be found at For comments please write to the director of NEP, Marco Novarese at <>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.