61. Participation in a Decentralized Housing Allowance Program in a Transition Economy
- Author:
- Tatiana Lykova, Sergei Sivaev, Raymond J. Struyk, and Ekaterina Petrova
- Publication Date:
- 05-2003
- Content Type:
- Working Paper
- Institution:
- Urban Institute
- Abstract:
- When Russia's housing allowance program, the country's first means-tested program, was introduced in 1994, it was truly innovative. But there were difficulties from the start, many arising from the division of authority for setting program parameters among different levels of government and the potential for variation in the treatment of similar households in different cities. In 1996, the program's original simple basis for benefit determination was seriously impaired by the introduction of different principles for very low-income households. Moreover, local governments have exhibited a willingness to vary benefits from year-to-year, depending on political and budgetary considerations. The analysis presented here documents the impact of these variations on participation rates in a sample of Russian cities. Large inequities are obviously present in the treatment of similar households from city to city. Indeed, it is questionable whether the program as currently configured is fulfilling the social safety net function envisioned for it in the original legislation.
- Topic:
- Development, Government, and Human Welfare
- Political Geography:
- Russia, Europe, and Asia