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

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  • Young, Andrew T.
  • Higgins, Matthew J.
  • Levy, Daniel

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

  • Young, Andrew T. & Higgins, Matthew J. & Levy, Daniel, 2008. "Sigma Convergence versus Beta Convergence: Evidence from U.S. County-Level Data," EconStor Open Access Articles, ZBW - Leibniz Information Centre for Economics, pages 1083-1093.
  • Handle: RePEc:zbw:espost:206824
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    References listed on IDEAS

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    More about this item

    Keywords

    sigma-convergence; beta-convergence; Solow growth model; speed of convergence; balanced growth; U.S. county-level data; income distribution; Gini coefficient; income equality;

    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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