TY - JOUR

T1 - Spatial pattern of Russia’s market integration

AU - Gluschenko, Konstantin

N1 - Publisher Copyright: © 2021 Regional Studies Association.

PY - 2021

Y1 - 2021

N2 - This paper studies the integration of regional goods markets in Russia over the period 2001–19, analysing the law of one price. The analysis involves all pairs of country’s regions, which provides a comprehensive spatial pattern of market integration. The region pairs are classified as belonging to one of four groups: perfectly integrated, conditionally integrated, not integrated but tending towards integration (converging), and neither integrated nor tending towards integration. On average, a region is found to be perfectly and conditionally integrated with 48.7% of other regions and tending towards integration with 3.3% of them. Comparisons of the European and Asian parts of Russia and other considerations suggest that geographical reasons explain the pattern obtained only partially. Apparently, idiosyncratic features of regional markets play a main role in non-integration.

AB - This paper studies the integration of regional goods markets in Russia over the period 2001–19, analysing the law of one price. The analysis involves all pairs of country’s regions, which provides a comprehensive spatial pattern of market integration. The region pairs are classified as belonging to one of four groups: perfectly integrated, conditionally integrated, not integrated but tending towards integration (converging), and neither integrated nor tending towards integration. On average, a region is found to be perfectly and conditionally integrated with 48.7% of other regions and tending towards integration with 3.3% of them. Comparisons of the European and Asian parts of Russia and other considerations suggest that geographical reasons explain the pattern obtained only partially. Apparently, idiosyncratic features of regional markets play a main role in non-integration.

KW - law of one price

KW - non-linear trend

KW - price convergence

KW - regional product market

UR - http://www.scopus.com/inward/record.url?scp=85102944970&partnerID=8YFLogxK

U2 - 10.1080/17421772.2021.1898666

DO - 10.1080/17421772.2021.1898666

M3 - Article

AN - SCOPUS:85102944970

VL - 16

SP - 449

EP - 470

JO - Spatial Economic Analysis

JF - Spatial Economic Analysis

SN - 1742-1772

IS - 4

ER -