Income mobility and the middle class in Russia, 1995–2007

This article analyzes the determinants of income mobility between 1995 and 2007, using the Russia Longitudinal Monitoring Survey (RLMS-HSE). The analysis uses the mixture model method and is carried out between and within income groups, defined on the basis of household income. The results of the within-group analysis suggest that the probability of remaining in the middle of the income distribution is greater than that of remaining poor or rich. However, if a household moves away from the middle group, the probability of falling into the bottom group is much higher than that of moving upwards.