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Real Exchange Rate and Economic Growth: Evidence from Chinese Provincial Data (1992 - 2008)

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  • Jinzhao Chen

    (PSE - Paris-Jourdan Sciences Economiques - CNRS : UMR8545 - École des Hautes Études en Sciences Sociales (EHESS) - École des Ponts ParisTech (ENPC) - École normale supérieure [ENS] - Paris - Institut national de la recherche agronomique (INRA), EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics - Ecole d'Économie de Paris)

Abstract

This 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 [1991] 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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Bibliographic Info

Paper provided by HAL in its series PSE Working Papers with number halshs-00667467.

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Date of creation: Feb 2012
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Handle: RePEc:hal:psewpa:halshs-00667467

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Keywords: Real Exchange Rate ; Economic Growth ; China ; Generalized method of moments;

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Cited by:
  1. Ahmad, Arslan & Ahmad, Najid & Ali, Sharafat, 2013. "Exchange Rate and Economic Growth in Pakistan (1975-2011)," MPRA Paper 49395, University Library of Munich, Germany, revised Jul 2013.
  2. Ahmad, Najid & Ahmad, Arslan & Hayat, Muhammad Farhat, 2013. "Foreign Remittances and Economic Growth in Pakistan: An empirical investigation," MPRA Paper 49132, University Library of Munich, Germany.

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