IDEAS home Printed from https://ideas.repec.org/a/nos/voprec/y2020id2823.html
   My bibliography  Save this article

How does inflation influence income inequality in Russia?

Author

Listed:
  • Philipp S. Kartaev
  • Olga A. Klachkova
  • Anna S. Lukianova

Abstract

The paper studies the impact of inflation on income inequality in Russian regions. It was revealed that the reduction in inflation from double-digit rate to the Bank of Russia’s target did not help to mitigate inequality, but rather exacerbated it. We identified a group of products which changing price dynamics affects inequality. The price increase may lead to the decline in inequality through redistributive effect. It is shown that in Russia this effect is associated with the channel of unexpected inflation that results in real wealth transfer from more prosperous lenders to less well-off borrowers. The policy of inflation targeting, successfully implemented by the monetary authorities in recent years, has reduced the volatility of inflation and limited the operation of this channel. At the same time, quantitative estimates of the increase in inequality as a result of achieving price stability remain relatively low.

Suggested Citation

  • Philipp S. Kartaev & Olga A. Klachkova & Anna S. Lukianova, 2020. "How does inflation influence income inequality in Russia?," Voprosy Ekonomiki, NP Voprosy Ekonomiki, issue 4.
    • Handle: RePEc:nos:voprec:y:2020:id:2823
    DOI: 10.32609/0042-8736-2020-4-54-66
    as

    Download full text from publisher

    File URL: https://www.vopreco.ru/jour/article/viewFile/2823/2266
    Download Restriction: no
    File URL: https://libkey.io/10.32609/0042-8736-2020-4-54-66?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Tatiana Yu. Ivakhnenko, 2023. "Modeling of Income Inequality of the Population with Spatial Dependence in Russia [Моделирование Неравенства Доходов Населения С Учетом Пространственной Зависимости В Рф]," Russian Economic Development, Gaidar Institute for Economic Policy, issue 7, pages 21-28, July.
    2. Valeria Zvereva & Olga Demidova & Dmitry Korshunov & Alexander Myasnikov, 2024. "Impact of Intraregional Income Inequality on the Operation of the Bank of Russia's Monetary Policy Transmission Mechanism," Russian Journal of Money and Finance, Bank of Russia, vol. 83(1), pages 3-31, March.
    3. Tatiana Yu. Ivakhnenko, 2023. "Моделирование Неравенства Доходов Населения С Учетом Пространственной Зависимости В Рф," Russian Economic Development (in Russian), Gaidar Institute for Economic Policy, issue 7, pages 21-28, July.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nos:voprec:y:2020:id:2823. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: NEICON (email available below). General contact details of provider: https://www.vopreco.ru .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.