Regional Divergence of per capita GDP in China: 1991-99
Using China's regional data from 1991 to 1999, this paper investigates inter-regional income inequalities. GMM estimation has been used to explore a dynamic panel data model based on the Solow growth model. We find that regions conditionally converge to their own steady states at an annual rate of 8%, indicating around 8 years for a region to halve the deviation from its balanced growth path. However, the panel data exploration of convergence could not explain the catching up phenomenon. To see whether poorer regions can grow faster than richer ones, sigma and absolute beta divergence have been employed. We find that when the regional income gap enlarges during the 1990s, the initially poor regions do not catch up with the initially rich regions.
Volume (Year): 2 (2004)
Issue (Month): 1 ()
|Contact details of provider:|| Web page: http://www.tandfonline.com/RCEA20|
|Order Information:||Web: http://www.tandfonline.com/pricing/journal/RCEA20|
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Bernard, A.B. & Durlauf, S.N., 1994.
"Interpreting Tests of the Convergence Hypothesis,"
9401r, Wisconsin Madison - Social Systems.
- Chen, Jian & Fleisher, Belton M., 1996. "Regional Income Inequality and Economic Growth in China," Journal of Comparative Economics, Elsevier, vol. 22(2), pages 141-164, April.
- S Durlauf & Danny Quah, 1998.
"The New Empirics of Economic Growth,"
CEP Discussion Papers
dp0384, Centre for Economic Performance, LSE.
- Steven N. Durlauf & Danny T. Quah, 1998. "The New Empirics of Economic Growth," Working Papers 98-01-012, Santa Fe Institute.
- Steven N. Durlauf & Danny T. Quah, 1998. "The New Empirics of Economic Growth," NBER Working Papers 6422, National Bureau of Economic Research, Inc.
- Durlauf,S.N. & Quah,D.T., 1998. "The new empirics of economic growth," Working papers 3, Wisconsin Madison - Social Systems.
- N. Gregory Mankiw & David Romer & David N. Weil, 1990.
"A Contribution to the Empirics of Economic Growth,"
NBER Working Papers
3541, National Bureau of Economic Research, Inc.
- Yao, Shujie & Zhang, Zongyi, 2001. "On Regional Inequality and Diverging Clubs: A Case Study of Contemporary China," Journal of Comparative Economics, Elsevier, vol. 29(3), pages 466-484, September.
- Tianlun Jian & Jeffrey D. Sachs & Andrew M. Warner, 1996.
"Trends in Regional Inequality in China,"
NBER Working Papers
5412, National Bureau of Economic Research, Inc.
- repec:chb:bcchwp:03 is not listed on IDEAS
- Chen, Baizhu & Feng, Yi, 2000. "Determinants of economic growth in China: Private enterprise, education, and openness," China Economic Review, Elsevier, vol. 11(1), pages 1-15.
- Caselli, Francesco & Esquivel, Gerardo & Lefort, Fernando, 1996.
" Reopening the Convergence Debate: A New Look at Cross-Country Growth Empirics,"
Journal of Economic Growth,
Springer, vol. 1(3), pages 363-89, September.
When requesting a correction, please mention this item's handle: RePEc:taf:jocebs:v:2:y:2004:i:1:p:39-53. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty)
If references are entirely missing, you can add them using this form.