Real Exchange Rate and Economic Growth: Evidence from Chinese Provincial Data (1992 - 2008)
AbstractThis paper studies the convergence, and the role of internal real exchange rate on economic growth in the Chinese provincial level. Using informal growth equation à la Barro  and dynamic panel data estimation, we find conditional convergence among the coastal provinces and among inland provinces. Moreover, our results show that the real exchange rate appreciation has a positive effect on the provincial economic growth.
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Date of creation: Feb 2012
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Real Exchange Rate ; Economic Growth ; China ; Generalized method of moments;
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-02-20 (All new papers)
- NEP-DEV-2012-02-20 (Development)
- NEP-FDG-2012-02-20 (Financial Development & Growth)
- NEP-OPM-2012-02-20 (Open Economy Macroeconomics)
- NEP-TRA-2012-02-20 (Transition Economics)
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