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Guangdong: A catalyst for economic growth and exports in hunan province

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  • Christer Ljungwall

Abstract

This paper uses the concept of Granger-causality to analyze the link between export expansion in the rapidly growing Guangdong province and GDP growth and exports in Hunan, its adjacent northwest neighbor province. Data cover the 1978 to 2001 period. A long-run equilibrium relationship is found between the variables and a long-run positive causality is detected from export expansion in Guangdong to both GDP growth and exports in Hunan. Hence, the results seem to support the unbalanced regional development policy implemented by the central government in the late 1970s and early 1980s.

Suggested Citation

  • Christer Ljungwall, 2004. "Guangdong: A catalyst for economic growth and exports in hunan province," Journal of Chinese Economic and Business Studies, Taylor & Francis Journals, vol. 2(3), pages 249-265.
  • Handle: RePEc:taf:jocebs:v:2:y:2004:i:3:p:249-265
    DOI: 10.1080/147658042000276114
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    References listed on IDEAS

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    More about this item

    Keywords

    Spillover effects; backward linkages; error-correction; China; JEL classifications: C22; F14; F15; O10; O53;
    All these keywords.

    JEL classification:

    • C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F15 - International Economics - - Trade - - - Economic Integration
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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