This book investigates the relationship between the character of
political regimes in Russia's subnational regions and the structure
of earnings and income. Based on extensive data from Russian
official sources and surveys conducted by the World Bank, the book
shows that income inequality is higher in more pluralistic regions.
It argues that the relationship between firms and government
differs between more democratic and more authoritarian regional
regimes. In more democratic regions, business firms and government
have more cooperative relations, restraining the power of
government over business and encouraging business to invest more,
pay more, and report more of their wages. Average wages are higher
in more democratic regions and poverty is lower, but wage and
income inequality are also higher. The book argues that the rising
inequality in postcommunist Russia reflects the inability of a weak
state to carry out a redistributive social policy.
General
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