Socio-economic development of northern regions of Russia

Abstract

This paper reviews the characteristics and trends of socio-economic development of northern regions. To assess the socio-economic differentiation, groups of 21 primary indicator were selected (five economic, three financial, eleven social and two spacial). With the help of the statistical characteristics, the degree of economic and social divergence and convergence of the territories is determined. On the basis of principal component factor analysis and Ward's hierarchical cluster analysis, four groups of regions in terms of socio-economic development were identified - highly developed, developed, underdeveloped and problematic. A meaningful characterization of these clusters, which allows differential regulation of the development in the northern regions, is given. With respect to each type is necessary to develop a focused state regional policy in order to soften the uneven development and improve social and economic development of northern regions.