Human capital, growth, and inequality in Russia

Authors

Chengze, Simon FAN, Lingnan University, Hong Kong
Jody OVERLAND, University of Colorado, United States
Michael SPAGAT, University of London, United Kingdom

Document Type

Journal article

Source Publication

Journal of Comparative Economics

Publication Date

12-1-1999

Volume

27

Issue

4

First Page

618

Last Page

643

Abstract

Our model captures the fact that Russia has both much human capital and an education system that produces the wrong skills for a market economy. We define a rule for the timing of educational restructuring that is Pareto optimal and that dominates all later times in a Paretian sense while simultaneously reducing inequality. We demonstrate that failure to implement restructuring early in the transition process is likely to produce a very long delay that will significantly reduce Russia's human capital. A retreat from subsidizing public education is Likely to be counterproductive, We argue that early educational restructuring should be emphasized in Russia's transition strategy.

DOI

10.1006/jcec.1999.1617

Print ISSN

01475967

E-ISSN

10957227

Publisher Statement

Copyright © 1999 by Academic Press

Access to external full text or publisher's version may require subscription.

Full-text Version

Publisher’s Version

Language

English

Recommended Citation

Fan, C. S., Overland, J., & Spagat, M. (1999). Human capital, growth, and inequality in Russia. Journal of Comparative Economics, 27(4), 618-643. doi: 10.1006/jcec.1999.1617