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Regional economic performance in China

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  • Ajit Bhalla
  • Shujie Yao
  • Zongyi Zhang
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    Abstract

    This paper investigates convergence patterns among China's provinces using GDP data for the period 1952-97. We analyze convergence behaviour on the basis of Markov chains proposed by Quah (1993) and the generalized entropy decomposition proposed by Shorrocks (1980, 1984). Both sets of results show similar evidence of convergence within the pre-defined geo-economic sub-regions, but no evidence is found of convergence between the sub-regions. This finding has important policy implications for regional economic development in China. Copyright (c)The European Bank for Reconstruction and Development, 2003.

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    Bibliographic Info

    Article provided by The European Bank for Reconstruction and Development in its journal The Economics of Transition.

    Volume (Year): 11 (2003-03)
    Issue (Month): 1 (March)
    Pages: 25-39

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    Handle: RePEc:bla:etrans:v:11:y:2003-03:i:1:p:25-39

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    Cited by:
    1. Bystrom, Hans N.E. & Olofsdotter, Karin & Soderstrom, Lars, 2005. "Is China an optimum currency area?," Journal of Asian Economics, Elsevier, vol. 16(4), pages 612-634, August.
    2. Qinghua Zhang & Heng-fu Zou, 2011. "Regional Inequality in Contemporary China," CEMA Working Papers 518, China Economics and Management Academy, Central University of Finance and Economics.
    3. M. J. Herrerias & Javier Ordoñez, 2011. "New Evidence on the Role of Regional Clusters and Convergence in China (1952-2008)," Working Papers 2011/07, Economics Department, Universitat Jaume I, Castellón (Spain).
    4. Curran, Declan & Funke, Michael & Wang, Jue, 2007. "Economic growth across space and time: subprovincial evidence from Mainland China," BOFIT Discussion Papers 21/2007, Bank of Finland, Institute for Economies in Transition.
    5. M. Herrerías, 2012. "Weighted convergence and regional growth in China: an alternative approach (1952–2008)," The Annals of Regional Science, Springer, vol. 49(3), pages 685-718, December.
    6. Chun-Yu Ho & Dan Li, 2007. "Catching Up or Falling Behind? Income Distribution of Chinese Cities," Boston University - Department of Economics - Working Papers Series WP2007-22, Boston University - Department of Economics.
    7. Aroca, Patricio & Guo, Dong & Hewings, Geoffrey J.D., 2006. "Spatial Convergence in China: 1952-99," Working Paper Series RP2006/89, World Institute for Development Economic Research (UNU-WIDER).
    8. Chun-Yu Ho & Dan Li, 2009. "The nexus of income and size distribution of Chinese cities, 1984-2003," Applied Economics Letters, Taylor & Francis Journals, vol. 16(17), pages 1677-1682.

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