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The Classical Approach to Convergence Analysis

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  • Sala-i-Martin, Xavier

Abstract

The concepts of s-convergence, absolute b-convergence and conditional b-convergence are discussed in this paper. The concepts are applied to a variety of data sets that include a large cross section of 110 countries, the sub-sample of OECD countries, the states within the United States, the prefectures of Japan and the regions within several European countries. Except for the large cross section of countries, all data sets display strong evidence of s-convergence and absolute b-convergence. The cross section of countries exhibits s-divergence and conditional b-convergence. The speed of conditional convergence, which is very similar across data sets, is close to 2% per year.

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Bibliographic Info

Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 1254.

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Date of creation: Oct 1995
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Handle: RePEc:cpr:ceprdp:1254

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Related research

Keywords: Convergence; Endogenous Growth; Neoclassical Growth; Regional Economic Growth;

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  1. Tjalling C. Koopmans, 1963. "On the Concept of Optimal Economic Growth," Cowles Foundation Discussion Papers 163, Cowles Foundation for Research in Economics, Yale University.
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