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Regional economic performance in China1

Author

Listed:
  • Ajit Bhalla
  • Shujie Yao
  • Zongyi Zhang

Abstract

This paper investigates convergence patterns among China's provinces using GDP data for the period 1952–97. We analyze convergence behaviour on the basis of Markov chains proposed by Quah (1993) and the generalized entropy decomposition proposed by Shorrocks (1980, 1984). Both sets of results show similar evidence of convergence within the pre‐defined geo‐economic sub‐regions, but no evidence is found of convergence between the sub‐regions. This finding has important policy implications for regional economic development in China. JEL classification: C33, E20, O47.

Suggested Citation

  • Ajit Bhalla & Shujie Yao & Zongyi Zhang, 2003. "Regional economic performance in China1," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 11(1), pages 25-39, March.
    • Handle: RePEc:bla:etrans:v:11:y:2003:i:1:p:25-39
    DOI: 10.1111/1468-0351.00138
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    Citations

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    Cited by:

    1. Chun-Yu Ho & Dan Li, 2009. "The nexus of income and size distribution of Chinese cities, 1984-2003," Applied Economics Letters, Taylor & Francis Journals, vol. 16(17), pages 1677-1682.
    2. Declan Curran & Michael Funke & Jue Wang, 2007. "Economic Growth across Space and Time: subprovincial Evidence from Mainland China," Quantitative Macroeconomics Working Papers 20710, Hamburg University, Department of Economics.
    3. Chenjian Zhang, 2022. "Formal and informal institutional legacies and inward foreign direct investment into firms: Evidence from China," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(6), pages 1228-1256, August.

    More about this item

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • E20 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - General (includes Measurement and Data)
    • 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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