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Regional Variation and the Asian Little Divergence

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  • BROADBERRY, Stephen
  • FUKAO, Kyoji
  • GUAN, Hanhui

Abstract

Comparing the major Asian economies of China, India and Japan without taking account of variations in size suggests that the Asian Little Divergence began in the eighteenth century when Japan overtook first India and then China. However, the Great Divergence debate has focused on when the leading regions of the declining countries first fell behind and there was significant regional variation in GDP per capita in all three countries. Allowing for regional variation significantly changes the dating of the Asian Little Divergence: (1) In China, the Yangzi Delta, with a population about the same size as the whole of Japan, did not fall behind until around the time of the Meiji restoration in 1868. (2) In Japan, the Kinai region forged ahead of the Yangzi Delta around 1800. (3) In India, Mysore remained behind the Yangzi Delta throughout the period 1600-1870 and therefore has less significance for the timing of the Asian Little Divergence.

Suggested Citation

  • BROADBERRY, Stephen & FUKAO, Kyoji & GUAN, Hanhui, 2025. "Regional Variation and the Asian Little Divergence," Discussion Paper Series 764, Institute of Economic Research, Hitotsubashi University.
    • Handle: RePEc:hit:hituec:764
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    Keywords

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    JEL classification:

    • N15 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - Asia including Middle East
    • N95 - Economic History - - Regional and Urban History - - - Asia including Middle East
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

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