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Regional Convergence and Sustainable Development in China

Author

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  • Fang Yang

    (Collaborative Innovation Center for Peaceful Development of Cross-Strait Relations, Xiamen University, Xiamen 361005, China
    School of Economics, Xiamen University, Xiamen 361005, China)

  • Shiying Pan

    (China Center for Energy Economics Research, School of Economics, Xiamen University, Xiamen 361005, China)

  • Xin Yao

    (China Center for Energy Economics Research, School of Economics, Xiamen University, Xiamen 361005, China
    Collaborative Innovation Center for Energy Economics and Energy Policy, Xiamen University, Xiamen 361005, China)

Abstract

Based on the convergence theory of economic growth, this paper extends this concept to the human development index and carries out an empirical analysis of regional development in China between 1997 and 2006. Our research shows that the conditional convergence has been identified. Investment in fixed assets, government expenditure on education, health and infrastructure construction have positive effects on regional convergence of social development. Population weighted analysis of human development index provides support for weak convergence amongst provinces. Analysis of dynamics of regional distribution reveals the club convergence, which indicate two different convergence states. Central China is in the shade and lags behind, giving rise to the so-called “central downfall”. To solve this problem, the “Rise of Central China” Plan is necessary to promote the connection between coastal and inland regions of China and reduce the regional development gap.

Suggested Citation

  • Fang Yang & Shiying Pan & Xin Yao, 2016. "Regional Convergence and Sustainable Development in China," Sustainability, MDPI, vol. 8(2), pages 1-15, January.
    • Handle: RePEc:gam:jsusta:v:8:y:2016:i:2:p:121-:d:63084
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    7. Dukhabandhu Sahoo & Diptimayee Mishra & Auro Kumar Sahoo & Phendulwa Zikhona Makunga & Jayanti Behera, 2020. "Regional and subregional analyses of macroeconomic policy strategies for growth and equality in Southern Africa," WIDER Working Paper Series wp-2020-176, World Institute for Development Economic Research (UNU-WIDER).
    8. Montañés, Antonio & Olmos, Lorena & Reyes, Marcelo, 2018. "Has the Great Recession affected the convergence process? The case of Spanish provinces," Economic Modelling, Elsevier, vol. 68(C), pages 360-371.
    9. Muhammad Hidayat & Nasri Bachtiar & Sjafrizal Sjafrizal & Elvina Primayesa, 2023. "The Influence of Investment, Energy Infrastructure, and Human Capital Towards Convergence of Regional Disparities in Sumatra Island, Indonesia; Using Oil and Gas Data and Without Oil and Gas," International Journal of Energy Economics and Policy, Econjournals, vol. 13(4), pages 139-149, July.
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