ABSTRACT

This chapter investigates the inequality between regions in Russia and the redistribution that has occurred between 1998 and 2012. It focuses on a comparison of per capita gross regional product (GRP), the impact of redistribution of oil rent over the federal budget, social indicators and the Gini coefficient. The chapter compares regional inequality between Russia, Ukraine and Kazakhstan, and shows that Russia has a trend of more convergence in equality between regions than the other countries in the 2000s. It gives a background of issues and literature in the area of spatial inequality. The chapter analyses heterogeneity in human capital, living conditions and the modernization of values between different parts of Russia using the centre-periphery model. This analysis allows conclusions regarding the heterogeneity of political views and strategies to adapt to economic and political change based on geographical factors and the level of living conditions.