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Sigma Convergence versus Beta Convergence: Evidence from U.S. County‐Level Data

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  • ANDREW T. YOUNG
  • MATTHEW J. HIGGINS
  • DANIEL LEVY

Abstract

In this paper, we outline (i) why σ‐convergence may not accompany β‐convergence, (ii) discuss evidence of β‐convergence in the United States, and (iii) use U.S. county‐level data containing over 3,000 cross‐sectional observations to demonstrate that σ‐convergence cannot be detected at the county level across the United States, or within the large majority of the individual U.S. states considered separately. Indeed, in many cases statistically significant σ‐divergence is found.

Suggested Citation

  • Andrew T. Young & Matthew J. Higgins & Daniel Levy, 2008. "Sigma Convergence versus Beta Convergence: Evidence from U.S. County‐Level Data," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 40(5), pages 1083-1093, August.
  • Handle: RePEc:wly:jmoncb:v:40:y:2008:i:5:p:1083-1093
    DOI: 10.1111/j.1538-4616.2008.00148.x
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    More about this item

    JEL classification:

    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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