Estimations of the impact of some variables on the labor demand and labor supply in the subjects of the Russian Federation

Heterogeneity of socio-economic development of the Russia's regions explains the choice of the research question about studying the differences in the functioning of the regional labor markets in Russia. The elasticities of employment in the regions measured by the value of the gross regional product are more variable than in the whole country. Considering that the low elasticity of employment has traditionally been considered as the main functional feature of the Russian labor market model it shows the peculiarities of the regional labor markets. The goal of this empirical study is to provide the regression analysis in order to identify the influence of the different variables on the number of employees and the number of the labor force in the regions of Russia. The estimations are based on the macro data on regional development, officially published by the Federal State Statistics Service (Rosstat). The choice of variables is based on the analysis of the theory, the approaches used by other authors and the analysis of some indicators of regional economic development. Our results have showed that the labor demand, measured by the number of employees, is affected by the factors that determine the structure of the regional economy. At the same time the labor supply that was estimated by the number of regional labor force depends on the demographic factors. The article explains the impact of the factors on the number of employees and the labor force in the regions. Also there are some conclusions about the functioning of the regional labor markets in Russia that could be explained by the factors with the highest impact.