Contemporary Finance & Economics ›› 2012, Vol. 0 ›› Issue (02): 1482-.
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DU Li-yong
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Abstract: Based on the GDP data during 1952-2009 and by adopting the stochastic convergence and β convergence testing methods developed recently, this paper tries to analyze the evolution tendency of China’s regional economic gaps. If the structural mutation is considered, the proofs of both stochastic convergence and β convergence can be found in half of Chinese provinces during the period after the breaking point, and there will be more evidence of β convergence when the breaking point is endogenous. The eastern region and most provinces in the central region have the same growth route, forming their own clubs. Luckily, in recent years, the higher level of average income of the eastern provinces than that of the whole country is mitigated to some extent; while some provinces in the central region are also narrowing the gap between themselves and the national average level; around half of western provinces have the same growth route, part of them also have the tendency of narrowing the gap. All of them show that the regional coordination policy since 2000 has reached its expected goal to some degree.
Key words: regional economy; convergence; growth route
DU Li-yong. Is China’s Regional Economy Converging? A Re-examination Based on Time Series[J]. Contemporary Finance & Economics, 2012, 0(02): 1482-.
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