{"title":"Is the difference in consumption and income an indication of petty corruption?","authors":"T. Zhuravleva, Russia Saint Petersburg","doi":"10.31737/2221-2264-2021-49-1-4","DOIUrl":null,"url":null,"abstract":"Based on micro-level data on reported household earnings, expenditures and assets, provided by the Russian Longitudinal Monitoring Survey (RLMS) for the period 2000–2013, it is found that households with workers in the public sector receive lower earnings than households with members employed in the private sector but enjoy the same level of consumption. Controlling for the reported level of earnings, private households do not show a significantly higher probability of possessing summer cottages (dachas), cars and computers, or living in better housing conditions, or having a higher level of monetary savings. The differences in assets cannot be reconciled with the sizeable expenditure-income gap found. The precautionary motives of workers are not able to reconcile these discrepancies either: neither attitude to risk, nor risk itself, differ between individuals employed in the private and public sectors. It is hypothesized that employees continue working in the public sector despite their low rate of official pay, because of unreported income they receive, or bribes.","PeriodicalId":43676,"journal":{"name":"Zhurnal Novaya Ekonomicheskaya Assotsiatsiya-Journal of the New Economic Association","volume":null,"pages":null},"PeriodicalIF":0.3000,"publicationDate":"2021-01-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"1","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Zhurnal Novaya Ekonomicheskaya Assotsiatsiya-Journal of the New Economic Association","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.31737/2221-2264-2021-49-1-4","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q4","JCRName":"ECONOMICS","Score":null,"Total":0}
引用次数: 1
Abstract
Based on micro-level data on reported household earnings, expenditures and assets, provided by the Russian Longitudinal Monitoring Survey (RLMS) for the period 2000–2013, it is found that households with workers in the public sector receive lower earnings than households with members employed in the private sector but enjoy the same level of consumption. Controlling for the reported level of earnings, private households do not show a significantly higher probability of possessing summer cottages (dachas), cars and computers, or living in better housing conditions, or having a higher level of monetary savings. The differences in assets cannot be reconciled with the sizeable expenditure-income gap found. The precautionary motives of workers are not able to reconcile these discrepancies either: neither attitude to risk, nor risk itself, differ between individuals employed in the private and public sectors. It is hypothesized that employees continue working in the public sector despite their low rate of official pay, because of unreported income they receive, or bribes.
期刊介绍:
Key Journal''s objectives: bring together economists of different schools of thought across the Russian Federation; strengthen ties between Academy institutes, educational establishments and economic research centers; improve the quality of Russian economic research and education; integrate economic science and education; speed up the integration of Russian economic science in the global mainstream of economic research. The Journal publishes both theoretical and empirical articles, devoted to all aspects of economic science, which are of interest for wide range of specialists. It welcomes high-quality interdisciplinary projects and economic studies employing methodologies from other sciences such as physics, psychology, political science, etc. Special attention is paid to analyses of processes occurring in the Russian economy. Decisions about publishing of articles are based on a double-blind review process. Exceptions are short notes in the section "Hot Topic", which is usually formed by special invitations and after considerations of the Editorial Board. The only criterion to publish is the quality of the work (original approach, significance and substance of findings, clear presentation style). No decision to publish or reject an article will be influenced by the author belonging to whatever public movement or putting forward ideas advocated by whatever political movement. The Journal comes out four times a year, each issue consisting of 12 to 15 press sheets. Now it is published only in Russian. The English translations of the Journal issues are posted on the Journal website as open access resources.