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A evolução das disparidades regionais no Rio Grande do Sul: uma aplicação de matrizes de Markov Evolution of regional income disparities in the Brazilian state of Rio Grande do Sul - application of Markov model]

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Author Info
Valter José Stülp () (PUC-RS)
Adelar Fochezatto () (PUC-RS)
Abstract

This paper analyses the regional convergence of the per capita income in the State of Rio Grande do Sul. A distributional function of the per capita income is estimated for the years of 1985 and 1999. Five income classes are defined. Based on these two functions, a Markov transitional probability matrix is estimated. The results indicate a process of income convergence toward the state average. In the long run, the five income classes would be reduced to three, with the disappearance of the lowest and the highest income classes.

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File URL: http://www.face.ufmg.br/novaeconomia/sumarios/v14n1/Stulp.pdf
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Publisher Info
Article provided by Economics Department, Universidade Federal de Minas Gerais (Brazil) in its journal Nova Economia.

Volume (Year): 14 (2004)
Issue (Month): 1 (January-April)
Pages: 39-66
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Handle: RePEc:nov:artigo:v:14:y:2004:i:1:p:39-66

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Related research
Keywords: regional economy; income convergence; Markov model; the economy of Rio Grande do Sul;

Find related papers by JEL classification:
R11 - Urban, Rural, and Regional Economics - - General Regional Economics - - - Analysis of Growth, Development, and Changes
R13 - Urban, Rural, and Regional Economics - - General Regional Economics - - - General Equilibrium and Welfare Economic Analysis of Regional Economies

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This page was last updated on 2009-12-9.

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