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Revisiting the Regional Growth Convergence Debate in Colombia Using Income Indicators

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Author Info
Boris Branisa () (University of Goettingen / Germany)
Adriana Cardozo () (University of Goettingen / Germany)

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Abstract

This paper investigates growth convergence across Colombian departments during the period of 1975 to 2000, following both the regression and the distributional approaches suggested in the literature, and using two income measures computed by Centro de Estudios Ganaderos (CEGA).We also discuss issues related to data provided by Departamento Administrativo Nacional de Estadısticas (DANE) used by previous convergence studies. Our results show no evidence supporting convergence using per capita gross departmental product, but rather persistence in the distribution. Using per capita gross household disposable income, we find convergence, but only at a low speed, close to one percent per year. Furthermore, we find no evidence of the existence of different steady states for the two variables considered.

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Publisher Info
Paper provided by Ibero-America Institute for Economic Research in its series Ibero America Institute for Econ. Research (IAI) Discussion Papers with number 194.

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Length: 68 pages
Date of creation: 29 Jul 2009
Date of revision: 21 Aug 2009
Handle: RePEc:got:iaidps:194

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Related research
Keywords: Colombia; regional growth convergence; growth regression; kernel density estimators;

Find related papers by JEL classification:
C11 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: General - - - Bayesian Analysis
O40 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
O54 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Latin America; Caribbean

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References listed on IDEAS
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  2. Durlauf, Steven N. & Johnson, Paul A. & Temple, Jonathan R.W., 2005. "Growth Econometrics," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 8, pages 555-677 Elsevier. [Downloadable!] (restricted)
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  3. Durlauf, Steven N., 2001. "Manifesto for a growth econometrics," Journal of Econometrics, Elsevier, vol. 100(1), pages 65-69, January. [Downloadable!] (restricted)
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  13. Fabio Sánchez & María del Mar Palau, 2006. "Conflict, Decentralisation and Local Governance in Colombia, 1974-2004," HiCN Working Papers 14, Households in Conflict Network. [Downloadable!]
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  14. Maddala, G S & Wu, S, 2000. "Cross-Country Growth Regressions: Problems of Heterogeneity, Stability and Interpretation," Applied Economics, Taylor and Francis Journals, vol. 32(5), pages 635-42, April. [Downloadable!] (restricted)
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  17. Jaime Bonet & Adolfo Meisel Roca, 2006. "El legado colonial como determinante del ingreso per cápita departamental en Colombia," DOCUMENTOS DE TRABAJO SOBRE ECONOMÍA REGIONAL 002520, BANCO DE LA REPÚBLICA - ECONOMÍA REGIONAL. [Downloadable!]
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