The Empirical Study on the Characteristic of the Convergence across Chinese Provinces and Industrial Agglomeration and Their Relationship

The Empirical Study on the Characteristic of the Convergence across Chinese Provinces and Industrial Agglomeration and Their Relationship


Author:Sun Wei, Li Jing, Wang Peng Journal:Taxation and Economy  Date:2008(5)

Keywords regional economy; economy convergence; industrial agglomeration

Abstract

This paper analyzes the stage characteristics of the convergence across Chinese provinces 1992 and 2004 through the use of relevant methods such as coefficient of variance and the - convergence models. After considering the situations of the industrial agglomeration in the same periods, we verify the relationship between the industrial agglomeration has an effect on the convergence across Chinese province and how important the effect is. The empirical study result shows that the convergence of regional incomes exits only in the periods of 1992 to 1996, the opposite tendency appears in 1996 to 2000 and neither the convergence nor the divergence of regional incomes exits after 2000. The industrial agglomeration has an obvious effect on the convergence across Chinese provinces but their concrete relationship is different during different periods.

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