Did Agricultural Technological Changes Affect China’s Regional Disparity?
China’s agricultural sector has developed very rapidly in the past 30 years and agricultural technological progress is deemed one of the most substantial factors leading to its rapid agricultural GDP growth. In this paper, we assess the impacts of agricultural technological changes on regional disparity using a general equilibrium model of multiple regions and multiple sectors. Our results suggest that agricultural technological changes significantly reduced China’s agricultural regional disparity and accounted for 40% reduction in agricultural regional disparity in terms of agricultural GDP per capita. Agricultural technological changes, however, led to an increase in China’s overall regional disparity and accounted for 6% increase in its overall regional disparity in terms of per capita GDP.
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