| In the section | Articles |
| Title of the article | Wages’ Impact on Employment in the Extreme North of Russia |
| Pages | 60-80 |
| Author 1 | Marina Andreyevna Giltman Candidate Economics, Associate Professor Tyumen State University 10 Semakova Street, Tyumen, Russia, 625002 This email address is being protected from spambots. You need JavaScript enabled to view it. |
| Abstract | The article examines the wages’ impact on employment in the Extreme North of Russia. The paper highlights the unique features of the labor markets of the Extreme North, which could influence on the labor supply and demand. Using the aggregate regional data from 2005 to 2013 the author estimates fixed effects models with the independent variables such as the number of employed and unemployed and migration balance. The study shows that in the Extreme North of Russia wages significantly affect not only the number of employed, but also the number of unemployed and migrant workers. The paper also reveals that the labor supply exceeds its demand and migration plays a key role in balancing the labor markets of the mentioned territories. |
| Code | 331.526 |
| DOI | 10.14530/se.2016.1.060-080 |
| Keywords | the Extreme North ♦ regional (local) labor markets ♦ employment ♦ labor demand ♦ labor supply ♦ wages ♦ Russia |
| Download | SE.2016.1.060-080.Giltman.pdf |
| For citation | Giltman M.A. Wages’ Impact on Employment in the Extreme North of Russia. Prostranstvennaya Ekonomika = Spatial Economics, 2016, no. 1, pp. 60-80. DOI: 10.14530/se.2016.1.060-080. (In Russian). |
| References | 1. In the Shadow of Regulation: Informality in the Russian Labor Market. Edited by V.E. Gimpelson, R.I. Kapelyushnikov. Moscow: National Research University «Higher School of Economics», 2014, 535 p. (In Russian). 2. Vishnevskaya N.Т., Kapelyushnikov R.I. Enforcement of Labor Legislation in Russia: Coverage, Dynamics, Regional Differentiation. Ekonomicheskaya Politika – Economic Policy, 2008, no. 1, pp. 170–195. (In Russian). 3. Giltman M.А., Votyakova A.А. Employment Elasticity in Russia’s Regional Labor Markets. Vestnik Permskogo Gosudarstvennogo Universiteta. Seriya: Ekonomika [Bulletin of Perm State University. Series: Economics], 2015, no. 4 (27), pp. 103–112. (In Russian). 4. Dubrovskaya E.N. Reproduction of the Human Potential in the Northern Region. Rosiysskoe Predprinimatelstvo – Russian Journal of Entrepreneurship, 2010, no. 10, issue 2, pp. 175–180. (In Russian). 5. Labor Wages in Russia: Evolution and Differentiation. Edited by V.E. Gimpelson, R.I. Kapelyushnikov. Moscow: National Research University «Higher School of Economics», 2008, 575 р. (In Russian). 6. Zubarevich N.V. Contemporary Russia: Geography and Arithmetic. Otechestvennye Zapiski [Notes of the Fatherland], 2012, vol. 46 (1), рр. 55–64. (In Russian). 7. Kapelyushnikov R.I. The End of the Russian Model of the Labour Market? Preprint WP3/2009/06. Moscow: National Research University «Higher School of Economics», 2009, 80 р. (In Russian). 8. Korovkin A.G., Podorvanova Yu.A., Dolgova I.N. The Relation between Nominal Wage and Unemployment: Regional Features. Problemy Prognozirovaniya – Studies on Russian Economic Development, 2003, no. 6, pp. 78–93. (In Russian). 9. Kryukov V.А. Arctic Economy: Focus on Socio-Economic Return. Zhurnal Sibirskogo Gosudarstvennogo Universiteta. Seriya: Gumanitarnye Nauki – The Siberian Federal University Journal. Series: Humanities and Social Sciences, 2015, 8, Supplement, pp. 21–43. (In Russian). 10. Kryukov V.А. Siberia – Between the Centre and the Man? ECO – ECO, 2013, no. 1 (463), pp. 2–4. (In Russian). 11. Kryukov V.А. Economy Space Rejects Lengthy Economy. ECO – ECO, 2015,no. 7 (493), pp. 2–4. (In Russian). 12. Lukiyanova A.L. Wage Inequality in Russian Economic Transition (1991–2008): Stylized Facts and Explanations. Zhurnal Novoy Ekonomicheskoy Assotsiatsii – Journal of the New Economic Association, 2011, no. 12, pp. 124–148. (In Russian). 13. Lukiyanova A.L., Oshchepkov A.Yu. Functioning of Regional Labour Markets: Labor Wages and Unemployment. Social Policy: Challenges of the XXI Century. Issue 3. Moscow: Independent Institute for Social Policy, 2007, pp. 32–71. (In Russian). 14. Manichev S.A., Astapenko E.E. Factors of Job Satisfaction in the Extractive Industries in the Far North. Vestnik Sankt-Peterburgskogo Gosudarstvennogo Universiteta. Seriya 12. Psikhologiya. Sotsiologiya. Pedagogika – Vestnik of Saint-Petersburg University. Series 12. Psychology. Sociology. Education, 2011, no. 4, pp. 77–89. (In Russian). 15. Mironenko О.N. Employers’ Adjustment to the Requirements of Employment Protection Legislation in Russia. Rossiyskiy Zhurnal Menedzhmenta – Russian Management Journal, 2012, vol. 10, no. 3, pp. 31–54. (In Russian). 16. Oshchepkov A.Yu. Gender Wage Gap in Russia. Ekonomicheskiy Zhurnal VSHE – HSE Economic Journal, 2006, vol. 10, no. 4, pp. 590–619. (In Russian). 17. Pogodaeva T.V. Typology of Russian Arctic Regions in Terms of Health Development: on the Areas of Social Policy. Fundamentalnye Issledovaniya – Fundamental Research, 2014, no. 11 (8), pp. 1765–1770. (In Russian). 18. Ruvil V.S., Galmukova E.N., Bundina O.I. Topical Issues of Development of Regions of the Far North: Migration Policy, Socio-Cultural, Demographic and Environmental Aspects. Ekonomika, Tryd, Upravlenie v Selskom Khozyaystve [Economics, Labor, Management in Agriculture], 2009, no. 1, pp. 46–57. (In Russian). 19. Tarakanov M.A. The North as a Group of Conceptions with Different Spatial Localization. Vestnik Kolskogo Nauchnogo Tsentra RAN [Bulletin of the Kola Science Centre of RAS], 2010, no. 3, pp. 70–77. (In Russian). 20. Kholodilova K.A. Quality of Life under Conditions of Shift Work in the Far North (the Case Study of the Yamalo-Nenets Autonomous Area). Vestnik Nizhegorodskogo Universiteta im. N.I. Lobachevskogo – Vestnik of Lobachevsky University of Nizhni Novgorod, 2008, no. 5, pp. 96–102. (In Russian). 21. Shakhnovich R. Impact of Local Labor Market on the Formation of Demand for Labour under Conditions of Economic Growth: Report on the First Annual Scientific Conference of Independent Institute for Social Policy «Social Policy: Challenges of the XXI Century», 2003. Available at: (accessed 28 December 2015). (In Russian). 22. Ammermueller A., Lucifora C., Origo F., Zwick T. Still Searching for the Wage Curve: Evidence from Germany and Italy. IZA. Discussion Paper No. 2674, 2007, 49 p. 23. Berger М., Blomquist G., Sabirianova Peter K. Compensating Differentials in Emerging Labour and Housing Market: Estimates of Quality of Life in Russian Cities. IZA. Discussion Paper No. 900, 2003, 59 p. 24. Bignebat C. Labour Market Concentration and Migration Patterns in Russia. MOISA. Working Paper No. 4, 2006, 14 p. 25. Bignebat C. Spatial Dispersion of Wages in Russia: Does Transition Reduce Inequality on Regional Labour Markets? TEAM, University of Paris I & CNRS, 2003, March, 27 p. 26. Bratti M., Leombruni R. Local Human Capital Externalities and Wages at the Firm Level: Evidence from Italian Manufacturing. Economics of Education Review, 2014, vol. 41, pp. 161–175. DOI: 10.1016/j.econedurev.2014.05.002 27. Caponi V. Centralized Wage Determination and Regional Unemployment Differences: The Case of Italy. IZA. Discussion Paper No. 3592, 2008, 45 p. 28. Coelho P., Ghali M. The End of the North-South Wage Differential. The American Economic Review, 1971, vol. 61, no. 5, pp. 932–937. 29. Combes P.-P., Magnac T., Robin J.-M. The Dynamics of Local Employment in France. IZA. Discussion Paper No. 1061, 2004, 32 p. 30. Commander S., Nikoloski Z., Plekhanov A. Employment Concentration and Resource Allocation: One-Company Towns in Russia. IZA. Discussion Paper No. 6034, 2011, 32 p. 31. David Q., Janiak A., Wasmer E. Local Social Capital and Geographical Mobility. Journal of Urban Economics, 2010, vol. 68, no. 2, pp. 191–204. DOI: 10.1016/j.jue.2010.04.003 32. Fujita M., Krugman P. Venables A.J. The Spatial Economy: Cities, Regions and International Trade. Massachusetts: The MIT Press, 1999, 367 p. 33. Gimpelson V., Kapeliushnikov R., Lukiyanova A. Employment Protection Legislation in Russia: Regional Enforcement and Labour Market Outcomes. IZA. Discussion Paper No. 4484, 2009, 37 p. 34. Greenwood M., Hunt G., Rickman D., Treyz G. Migration, Regional Equilibrium, and the Estimation of Compensating Differentials. The American Economic Review, 1991, no. 81, pp. 1382–1390. 35. Implementation Completion and Results Report (IBRD-46110) on a Loan in the Amount of US$ 80 Million to the Russian Federation for a Northern Restructuring Project Document of the World Bank. Report No. ICR00001343, 2010, 94 p. 36. Manning A., Petrongolo B. How Local Are Labor Markets? Evidence from a Spatial Job Search Model. IZA. Discussion Paper No. 6178, 2011, 48 p. 37. Moretti E. Local Labor Markets. Handbook of Labor Economics, 2011, chapter 14, vol. 4, part B, pp. 1237–1314. DOI: 10.1016/S0169-7218(11)02412-9 38. Muravyev A., Oshchepkov A. Minimum Wages, Unemployment and Informality: Evidence from Panel Data on Russian Regions. IZA. Discussion Paper No. 7878, 2013, 38 p. 39. Oshchepkov A. Compensating Wage Differentials across Russian Regions. Geographi cal Labor Market Imbalances. Recent Explanations and Cures. Berlin: Springer, 2015, pp. 65–105. |
| Financing | The study was supported by the Russian Foundation for Humanities, research project No. 14-32-01019. |
| Date |