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Spatial rebalancing and industrial convergence in China

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  • Lemoine, Françoise
  • Poncet, Sandra
  • Ünal, Deniz

Abstract

Our study documents the recent narrowing of the coast-inland divide in China. We argue that this rebalancing reflects, with a time lag, the catching up process which has been at work in the industry of the inland region since the end of the 1990s. The pattern is in line with the rapid and unconditional convergence observed in China's manufacturing industry over this period. The convergence of labor productivity suggests that advanced coastal regions have transferred capital and technology to the interior.

Suggested Citation

  • Lemoine, Françoise & Poncet, Sandra & Ünal, Deniz, 2015. "Spatial rebalancing and industrial convergence in China," China Economic Review, Elsevier, vol. 34(C), pages 39-63.
    • Handle: RePEc:eee:chieco:v:34:y:2015:i:c:p:39-63
    DOI: 10.1016/j.chieco.2015.03.007
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    More about this item

    Keywords

    China; Regional inequality; Manufacturing industry; Convergence; Growth;
    All these keywords.

    JEL classification:

    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • O25 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Industrial Policy
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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