IS MONEY THE MEASURE OF WELFARE IN RUSSIA

The transformation of a non-market to a market economy ought to change fundamentally the significance of money incomes for welfare. Whereas in a stressful non-market economy such as the former Soviet Union, non -monetized resources could substitute for money income and promote wel fare, in a modern market economy money income should be a good proxy f or household welfare. This article tests the extent to which Russians are now in a modern market economy by analyzing data from nationwide R ussian surveys in January, 1992, and April, 1994. Modern influences ar e increasingly important as a determinant of the distribution of money incomes, but not as an influence upon household welfare. The ''random ness'' of temporary disruptions of welfare is in accord with Rawlsian principles of equity.