Arbeitspapier

Employment concentration and resource allocation: One-company towns in Russia

The paper looks at the effects of employment concentration on resource allocation with a particular focus on one-company towns in Russia defined as towns where a single company accounts for a significant share of total employment of the locality. Empirical analysis of firms' production functions indicates that companies located in one-company towns are characterised by lower marginal product of labour, higher marginal product of capital and lower overall productivity pointing towards significant labour hoarding. One-company town enterprises are also found to be financially more vulnerable. The paper argues that the dominance of natural resources in the Russian economy and employment concentration is closely linked.

Language
Englisch

Bibliographic citation
Series: IZA Discussion Papers ; No. 6034

Classification
Wirtschaft
Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
Monopsony; Segmented Labor Markets
Urban, Rural, Regional, Real Estate, and Transportation Economics: Regional Migration; Regional Labor Markets; Population; Neighborhood Characteristics
Subject
employment concentration
one-company towns
labour productivity
Russia
Arbeitsmarkt
Beschäftigung
Unternehmenskonzentration
Regionales Cluster
Stadt
Russland

Event
Geistige Schöpfung
(who)
Commander, Simon
Nikoloski, Zlatko
Plekhanov, Alexander
Event
Veröffentlichung
(who)
Institute for the Study of Labor (IZA)
(where)
Bonn
(when)
2011

Handle
URN
urn:nbn:de:101:1-201110263788
Last update
10.03.2025, 11:42 AM CET

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Object type

  • Arbeitspapier

Associated

  • Commander, Simon
  • Nikoloski, Zlatko
  • Plekhanov, Alexander
  • Institute for the Study of Labor (IZA)

Time of origin

  • 2011

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