Rutherford, ThomasTarr, David2012-06-272012-06-272006-09https://hdl.handle.net/10986/9304In this paper we develop a computable general equilibrium model of the regions of Russia to assess the impact of accession to the World Trade Organization (WTO) on the regions of Russia. We estimate that the average gain in welfare as a percentage of consumption for the whole country is 7.8 percent (or 4.3 percent of consumption); we estimate that three regions will gain considerably more: Northwest (11.2 percent), St. Petersburg (10.6 percent) and Far East (9.7 percent). We estimate that the Urals will gain only 6.2 percent of consumption, considerably less than the national average. The principal explanation in our central analysis for the differences across regions is the ability of the different regions to benefit from a reduction in barriers against foreign direct investment. The three regions with the largest welfare gains are clearly the regions with the estimated largest shares of multinational investment. But the Urals has attracted relatively little FDI in the service sectors. An additional reason for differences across regions is quantified in our sensitivity analysis: regions may gain more from WTO accession if they can succeed in creating a good investment climate.en-USCC BY 3.0 IGOAGGREGATE CONSUMPTIONAGGREGATE TRADEANTIDUMPINGANTIDUMPING CASESAVERAGE TARIFFBUSINESS SERVICESCITIESCOMPETITIVENESSCONSTANT ELASTICITY OF TRANSFORMATIONCONSUMERSCOUNTERFACTUAL SIMULATIONSCURRENCYDEMAND FOR GOODSECONOMETRIC ESTIMATESECONOMIC GEOGRAPHYECONOMIC PERFORMANCEECONOMIC THEORYECONOMICS LITERATUREELASTICITYELASTICITY OF SUBSTITUTIONEQUILIBRIUMEXCHANGE RATEEXPENDITUREEXPENDITURESEXPORT MARKETSEXPORT TAXESEXPORTERSEXPORTSEXTERNALITIESFACTORS OF PRODUCTIONFIXED COSTSFOREIGN BANKSFOREIGN DIRECT INVESTMENTFOREIGN FIRMSFOREIGN GOODSFOREIGN OWNERSHIPFREE TRADEGDPGENERAL EQUILIBRIUM MODELGOOD INVESTMENT CLIMATEIMPACT OF TRADEIMPACT OF TRADE LIBERALIZATIONIMPERFECT COMPETITIONIMPORT DUTIESINCREASING RETURNSINCREASING RETURNS TO SCALEINDUSTRIAL SECTORINPUT-OUTPUT TABLESINTERMEDIATE GOODSINTERMEDIATE INPUTSINTERNATIONAL DEVELOPMENTINTERNATIONAL TRADEINVESTMENT LIBERALIZATIONMARGINAL COSTMARGINAL COSTSMARGINAL REVENUEMARKET ACCESSMARKET ECONOMYMARKET POWERMARKET PRICESMONOPOLISTIC COMPETITIONMONOPOLYMULTINATIONAL FIRMSMUTUAL FUNDNATIONAL OUTPUTNONDISCRIMINATORY BARRIERSOWNERSHIP SHARESPRICE TAKERSPRIMARY FACTORSPRIMARY FACTORS OF PRODUCTIONPRODUCT DIFFERENTIATIONPRODUCTION FUNCTIONPRODUCTIVITYPRODUCTIVITY INCREASESPROFITABILITYREAL EXCHANGE RATEREDUCTION IN TARIFFSREGULATORY BARRIERSSALESSERVICES MARKETSSPREADSUBSTITUTESUBSTITUTESSUPPLIERSSUPPLY CURVESSURPLUSTARIFF BARRIERSTARIFF RATETARIFF RATESTARIFF REDUCTIONTAX RATESTELECOMMUNICATIONTELECOMMUNICATIONSTELEPHONE SERVICESTERMS OF TRADETRADE LIBERALIZATIONTRADE MODELSTRADE REGIMEUNSKILLED LABORVALUE OF IMPORTSWAGESWELFARE GAINSWESTERN EUROPEWORLD MARKETWORLD MARKETSWORLD TRADEWORLD TRADE ORGANIZATIONWTOZERO PROFITSZERO TARIFFWorld Bank10.1596/1813-9450-4015