| Regional convergence on economic growth has been a hot topic among the neoclassical economic theories and macroeconomists since 1980's. Due to the obtainablity of the comparable GDP data among nations and regions and the introduction of some new research methods, the convergence theories which is based on the neoclassical growth model can provide a comparatively explicit predication on the long-term dynamic trend of economic growth. The issue of convergence or divergence, the speed of regional convergence and the cause of convergence, are the interests of macroeconomists, both at home and from abroad. Since the adoption of opening and reform policy, China's Economy has been growing rapidly, which has reinforced concerns about how to cope with continued growth whilst maintaining balanced regional income inequality, which arouses the interests of both Chinese scholars and overseas scholars. By researching the convergence on economic growth in Chinese regions, this paper tries to find the fundamental cause which induces regional income convergence. This paper also defines the steady state factor from four aspects by empirical study, it also endeavors to test whether there exists the club convergence in Chinese regions. It is organized as follows. Section 1 points out the meaning of this paper, and has a review on relevant documents. Section 2 points out the problem this paper tries to solve and adopts the technique rout in order to resolve this problem. This part also defines the time and regional units of this paper. Section 3 focuses on the verifying of the σ-convergence in Chinese regions, if theσ-convergence exists, the cause is what induces it. Section 4 focuses on the empirical implementation of growth models through β-convergence equations. I introduce the definition of steady state factor, that is, the "basis" factor which affects the growth rate of regional economic, the "process" factor which dominates the growth rate of regional economy, the "essence" factor which determines the growth rate of regional economy and the "disturbance" factor which disturbs the trend of regional economic growth. Section 5 verities the club convergence in Chinese regions. Finally, section 6 draws some conclusions and points out the drawbacks of this paper. Through the study this paper comes to the following conclusions: 1. We find no evidence ofσ-convergence in Chinese regions during the period of 1978-2002. But we find evidence of σ-convergence during the period of 1978-90 and find evidence of divergence during the period of 1990-2002. In Chinese regions, the disparities in the variance of the log of per GDP are mostly changed by the disparities in the variance of the log of labor productivity. Although it is also interrelated by the disparities in the variance of the log of employment rate, the influence is not so strong. Therefore we can draw the conclusion that σ-convergence in Chinese regions mostly depends on the reduction of regional disparities in labor productivity. If the disparities both in labor productivity and in employment rate decline, it will benefit theσ-convergence and reduce the regional disparities. 2. We find evidence ofβunconditional convergence in Chinese regions during the period of 1978-90, the obtained convergence speed is 2.2%; During the period of 1990-2002, it diverges, the obtained divergence speed is 1.9%; No evidence ofβunconditional convergence in Chinese regions during the period of 1978-2002 is found. 3. We find evidence of βconditional convergence in Chinese regions during the period of 1978-2002. Moreover, the obtainedβconditional convergence speed is 2.1%. But in different periods, regional economic growth rate is also different. During the period of 1978-90, the obtainedβconditional convergence speed is 3.6%; During the period of 1990-2002, noβconditional convergence is found. By operating the single conditioning variable, the obtainedβconditional convergence speed is various in thisdifferent periods. 4. During the period of 1978-2002, no club convergenc...
|
PDF Full Text Request