Heterogeneous consumers and market structure in a monopolistically competitive setting
The paper considers a model of monopolistic competition for the case of heterogeneous consumers, who differ from other with respect to product quality. To do this, a model of consumers, which in addition to the love of variety included a love of quality products. The industrial sector, in turn, consists of firms that produce a variety of differentiated products of different quality, focused on a certain type of buyer, i.e. the case of multi-product firms is considered. The function of supply and demand for the quality of goods is obtained, the equilibrium states in the long and short term are considered for two different situations when firms have market power in determining the quality of products and when they do not possess it.
Many industries are made of a few big firms, which are able to manipulate the market outcome, and of a host of small businesses, each of which has a negligible impact on the market. We provide a general equilibrium framework that encapsulates both market structures. Due to the higher toughness of competition, the entry of big firms leads them to sell more through a market expansion effect generated by the shrinking of the monopolistically competitive fringe. Furthermore, social welfare increases with the number of big firms because the pro-competitive effect associated with entry dominates the resulting decrease in product diversity.
This article discusses the use of public finance to reindustrialize Russian economy. The authors focus on the growing wear and tear of fixed assets, which damages the competitiveness of the Russian economy (even compared to other CIS economies). They show how a proper implementation of changes to corporate profits tax (CPT) may improve the situation and provide a calculation of CPT and VAT deduction in case of repair of fully depreciated fixed assets. They also prove that cost of repair of fully depreciated fixed assets should not be deducted for CPT purposes or affect the incoming deductible VAT.
The research is aimed at studying the applying of disruptive technologies by financial analysts in Russia and their impact on labor productivity and company productivity. Using structural equation modeling (SEM), we found that labor productivity and organizational support have almost identical indicators of a strong positive impact on company performance. Personal motivation stronger than digital skills affects labor performance.
The article presents analysis of the impact of human resource management systems (HRM) on the financial performance of banks operating in the Russian market. The sample includes 67 banks with different organizational characteristics (nationality of capital, ownership, lo-cation of the head office, number of years of operation in the Russian market). The research is based both on qualitative (a survey of heads of HR services of banks) and quantitative (analysis of financial statements of banks). Data were collected in the period from 2011 to 2015. Initially, the main indicators characterizing the effectiveness of the HRM system (labor productivity and return on investment in human capital), as well as indicators of the financial performance of banks (return on assets and return on capital), were calculated. Further, with the help of the system of econometric equations, the impact of performance indicators of HRM systems on financial results of banks was determined. The study revealed that, on one hand, implementation of the functions of the HRM system does not have a positive impact on financial performance of the bank. At the same time, the impact of effects of some particular variables characterizing the HRM system itself (orientation on the strategic goals of the bank, the composition of the functions performed, the automation of functions, the flexibility and innovation of the HRM system, the amount of personnel costs) on performance of banks was revealed. So, the positive effect of the HRM system arises from its orientation towards the strategic goals of the bank, as well as with the use of electronic systems that automate the functions of HRM and thus improving the timing and quality of their implementation. Together, these variables, characterizing the HRM system, increase the return on investment in human capital. If the bank also achieves the flexibility and innovation of the HRM system, then labor productivity also increases. This, in turn, has a positive impact on the financial performance of banks.
The size and persistence of youth unemployment has become unacceptable in some European countries, particularly in Southern Europe. Stagnation in labour productivity, on the other hand, goes back to the 1990s and even worsened after the burst of the crisis. A further evidence is that labour market reforms in many countries introduced, over the past twenty years, a set of newly designed job contracts that allowed the use of temporary work. We describe these phenomena and countries heterogeneity in four dimensions: labour productivity, youth unemployment, EPL (Employment Protection Legislation) and temporary work, and their dynamics.
This volume of scientific papers IEF RAS includes articles on a wide range of issues of theory and practice analysis and forecasting of national and regional economies and their sectors. The articles raise urgent problems of Russia’s socio-economic development: restoring of economic growth, increase in productivity, transition to a new technological level of production, improving the quality of RF citizens’ life. The book is addressed to researchers, economists, teachers, graduate students, students and readers interested in current and future socio-economic Russia’s problems.
The theoretical aproaches and new methods of analyses of labor produstivity dynamics in Russian regions is discussed.
The textbook covers two relevant and significant directions at the moment: lean production and labor productivity. The work highlights the basic concepts of labor productivity of the XIX century, the formation of the essence of labor productivity and the main tools aimed at improving it. The textbook also discusses the best Russian and international practices of lean production, presents the financial and economic effects of the implementation of the lean manufacturing project. Each section includes questions for students to better master the material they have learned. Recommended for students of higher professional education, studying in the areas of training "Economics", "Management", in particular masters in the relevant areas in lean production, economics of production, production management.
The paper examines the structure, governance, and balance sheets of state-controlled banks in Russia, which accounted for over 55 percent of the total assets in the country's banking system in early 2012. The author offers a credible estimate of the size of the country's state banking sector by including banks that are indirectly owned by public organizations. Contrary to some predictions based on the theoretical literature on economic transition, he explains the relatively high profitability and efficiency of Russian state-controlled banks by pointing to their competitive position in such functions as acquisition and disposal of assets on behalf of the government. Also suggested in the paper is a different way of looking at market concentration in Russia (by consolidating the market shares of core state-controlled banks), which produces a picture of a more concentrated market than officially reported. Lastly, one of the author's interesting conclusions is that China provides a better benchmark than the formerly centrally planned economies of Central and Eastern Europe by which to assess the viability of state ownership of banks in Russia and to evaluate the country's banking sector.
The paper examines the principles for the supervision of financial conglomerates proposed by BCBS in the consultative document published in December 2011. Moreover, the article proposes a number of suggestions worked out by the authors within the HSE research team.