Intercity Industrial Performance and Public Finance in Moscow Region, 1993-1995--Just a Lot of Company Towns?

Document Type

Article

Publication Date

2002

Publication Title

Post-Communist Economies

DOI

10.1080/14631370220139954

Abstract

Applying a stochastic industrial production function at the aggregate city level for 72 cities in a single Russian region reveals industry in a variety of cities is quite similar in the ability to produce gross industrial output efficiently during the early transition era 1993-95. Weak evidence is found for cities becoming more diverse in industrial performance during the period. Using additional inefficiency impact variables, some evidence was found for a more diversified industrial base and more locally retained profit tax revenue improving efficiency among cities in a given year, suggesting more diversified cities may perform better than a one-company town in the transition era. The hypothesis of an urban agglomeration effect improving efficiency found in the literature was rejected using distance and population density variables.

Link to Full Text

Share

COinS