Estimation of the Spatial Connectivity of the Economic Activity of Russian Regions
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ATIONS IN SOCIOECONOMIC DEVELOPMENT BY REGION
Estimation of the Spatial Connectivity of the Economic Activity of Russian Regions E. A. Kolomaka, b, * a
Institute of Economics and Industrial Engineering, Siberian Branch, Russian Academy of Sciences, Novosibirsk, 630090 Russia bNovosibirsk National Research State University, Novosibirsk, 630090 Russia *e-mail: [email protected] Received September 11, 2019; revised April 25, 2020; accepted April 25, 2020
Abstract—The article examines change in the effects of spatial connectivity of Russian regions’ economic activity for 1997–2016. Quantitative estimates are obtained using spatial econometrics methods. Two specifications of the model are used: the spatial lag model and spatial error model. Relations between regions are modeled through spatial external effects, which are described in two ways: using a nearest neighbor matrix and an inverse distance matrix. The following hypotheses are tested: (1) a single macroeconomic policy and market integration stimulate growth in the spatial connectivity of economic activity; (2) Russia’s western territories have closer spatial ties compared to the eastern; (3) imposition of sanctions against Russia stimulated the formation of new and strengthened existing internal ties, as well as the country’s spatial connectivity. Estimates have shown that there are no distinct trends in the spatial connectivity of economic activity in Russia, nor were interregional interactions affected by international sanctions. Relations important for economic activity are supported mainly with neighboring regions. The cooperation that arises between regions is not deep spatially and fades rapidly with increasing distance. This is also confirmed by the fact that for European Russia, spatial relations are a more significant development factor than for eastern regions. Keywords: spatial connectivity, economic activity, Russian regions, econometric estimates DOI: 10.1134/S2079970520030089
INTRODUCTION The problem of spatial connectivity, as a rule, is discussed from the aspect of transport and communication infrastructure, its branching, and territorial coverage. The existence of railways and roads, air links, and sea and river ports is a necessary technical element and condition for the interaction of spatially scattered economic agents. It is also a condition for realizing the benefits of the division of labor arising from geographical and climatic features. However, spatial connectivity should have an economic content, which is determined by the intensity of interregional interaction, which does not depend solely on the infrastructure component. To a large extent, it is determined by the depth of specialization, the development of institutions of cooperation, and the level of economic activity of different territories [6]. The system of these factors develops over time, it depends on changes in production technologies and institutional barriers to cooperation, and is determined not only by internal, but also external conditions of the country’s developme
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