Spatial aspects of the labour productivity dynamics in Russia

Abstarct
The abolition of the administrative regulation of economic activity in Russia has triggered the processes of its territorial concentration, leading to the polarization of regions in terms of economic activity. From the theoretical point of view, the territorial concentration of production contributes to an increase in labor productivity. At the same time, the concentration of economic activity leads not only to the growth of productivity in regions of concentration of production, but also influences neighboring territories. The main purpose of this article is to study the dynamics of labor productivity in the regions of the Russian Federation in connection with the ongoing processes of concentration of economic activity, as well as the role of spatial external effects in the dynamics of regional indicators of productivity. The paper uses statistical methods of analysis and an approach to the study of inequality and dynamics of regional distribution based on the use of Markov chains. Conclusions are drawn about the faster growth of labor productivity in regions of concentration of economic activity, about the polarization of regions by the level of labor productivity, and about spatial external effects generated by regional economies with high productivity. The character of these external effects depends on the degree of regional differences. Spatial effects are negative when regional differences are significant, while positive effects are manifested when differentiation of regional economies in terms of labor productivity is low.

Keywords
Regions of Russia, labour productivity, Markov chains, transition probability matrix, final distribution, spatial Markov matrix, spatial externalities



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