Ethnocultural Diversity: Analysis of Its Features in Russian Regions

The ethnocultural composition of modern Russian society is as follows: about 80% of the population are Russians; the remaining 20% are representatives of more than 180 of other nationalities. Russia has seen processes of ethnic assimilation throughout its history; nonetheless, numerous ethnic groups still maintain their cultural identity. The ethnocultural diversity varies significantly by the Russian regions. The aim of this study is to test a hypothesis that postulates the existence of a link between the ethnic diversity and public goods provision at the regional level, as well as to examine the relationship between ethnic diversity and some important social and economic indicators that describe economic development and social inequality using econometric research methods. The article satisfies the questions whether ethnic diversity is a factor contributing to the provision of public goods at the regional level in Russia and if the budgetary framework is affected by other population and territorial characteristics. The subject of the study is the ethnic composition of Russian regions, indicators of social and economic development, and indicators of regional budgets. One of the main findings of this study is that the more heterogeneous population a region has, the less share of its budget it spends on education. The results will allow regional social and economic policies to be tailored to the ethnic and cultural diversity of the population.