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Towards increased complexity in Russian regions: networks, diversification and growth

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  • Lyubimov, Ivan
  • Gvozdeva, Margarita
  • Lysyuk, Maria

Abstract

Following Hausmann et al. (2011), we apply a network approach to measure the level of economic complexity and diversification opportunities of Russian regions. Using Russian and international export data, we find that the complexity of Russian regional economies varies substantially: rela-tively high in western and central regions, lower in southern and northern Russia and lowest in eastern regions. While Russian regions, on average, have poor diversification opportunities, regions can still diversify their exports by participating in international value-added chains or cooperating in developing group strategies. Our results are highly consistent with two well-established rankings of Russian regional R&D development based on numerous regional indicators, and imply that our network-based measure of complexity captures important features such as the level of regional R&D.

Suggested Citation

  • Lyubimov, Ivan & Gvozdeva, Margarita & Lysyuk, Maria, 2018. "Towards increased complexity in Russian regions: networks, diversification and growth," BOFIT Discussion Papers 8/2018, Bank of Finland Institute for Emerging Economies (BOFIT).
  • Handle: RePEc:zbw:bofitp:bdp2018_008
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    References listed on IDEAS

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    1. Ricardo Hausmann & Bailey Klinger, 2007. "The Structure of the Product Space and the Evolution of Comparative Advantage," CID Working Papers 146, Center for International Development at Harvard University.
    2. Michele Coscia & Ricardo Hausmann & Frank Neffke, 2016. "Exploring the Uncharted Export: an Analysis of Tourism-Related Foreign Expenditure with International Spend Data," Papers 1611.09893, arXiv.org.
    3. Kemp-Benedict, Eric, 2014. "An interpretation and critique of the Method of Reflections," MPRA Paper 60705, University Library of Munich, Germany.
    4. Fadi Farra & Nadia Klos & Uwe Schober & Olga Sigalova & Alexander Zhukov, 2013. "Improving regional performance in Russia: a capability-based approach," Working Papers 155, European Bank for Reconstruction and Development, Office of the Chief Economist.
    5. Ricardo Hausmann & César Hidalgo, 2011. "The network structure of economic output," Journal of Economic Growth, Springer, vol. 16(4), pages 309-342, December.
    6. Hausmann, Ricardo & Klinger, Bailey, 2006. "Structural Transformation and Patterns of Comparative Advantage in the Product Space," Working Paper Series rwp06-041, Harvard University, John F. Kennedy School of Government.
    7. Marcel P. Timmer & Abdul Azeez Erumban & Bart Los & Robert Stehrer & Gaaitzen J. de Vries, 2014. "Slicing Up Global Value Chains," Journal of Economic Perspectives, American Economic Association, vol. 28(2), pages 99-118, Spring.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    JEL classification:

    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • O25 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Industrial Policy
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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