In the section Review, Discussion, Criticism
Title of the article Paid Services to Population of the Russian Regions
Pages 163-186
Author Boris Ivanovich Alekhin
Doctor of Science (Economics), Professor
Russian State University for the Humanities
6 Miusskaya Sq., Moscow, 125047, Russian Federation
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ORCID: 0000-0002-9571-4836
Abstract The objective of this research is to test the null hypothesis that there is no long-term, equilibrium relationship between the volume of paid services to regional population on the one hand and personal income and government financial assistance to regional users on the other hand. Additionally, we assessed the short-term impact of 15 factors, including the above mentioned, on the volume of paid services. To achieve these objectives, a panel for 82 regions of the Russian Federation for 2000тАУ2022 was compiled from official regional statistics. Using the pooled mean group estimator and the error correction model, we found out that personal income and government financial assistance are cointegration partners of the volume of paid services: their relationship is indeed long-term. The volume of paid services was positively elastic with respect to its cointegration partners. Every additional ruble of personal income or government financial assistance does not simply replace the ruble paid by the user; it frees it for new purchases. Regression analysis of the impact of 15 factors on the volume of paid services (all in log form) was carried out assuming the existence of not only long-term but short-term relationships as well. Stepwise (forward) regression with very strict parameters produced seven factors with major economic loadings. In particular, it demonstrated a positive relation between the volume of paid services on the one hand and per head consumer expenditures and age structure of regional population on the other hand. Also, the volume was negatively related to regional inflation and proved to be inelastic with respect to all these factors
Code 338+330.44+332.13
JEL R110, D120, H240
DOI https://dx.doi.org/10.14530/se.2025.1.163-186
Keywords paid services, panel data, cointegration, regions, Russia
Download SE.2025.1.163-186.Alekhin.pdf
For citation Alekhin B.I. Paid Services to Population of the Russian Regions. Prostranstvennaya Ekonomika = Spatial Economics, 2025, vol. 21, no. 1, pp. 163тАУ186. https://dx.doi.org/10.14530/se.2025.1.163-186 (In Russian)
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Financing  
Submitted 09.08.2024
Approved after reviewing 10.10.2024
Accepted for publication 13.01.2025
Available online 31.03.2025

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