Have the Chinese provinces become integrated under reform?

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61 Citations (Scopus)

Abstract

This paper analyzes the pattern of provincial economic integration in China for the period 1991-1998 by means of an error-components model that decomposes provincial sectoral real value-added growth into common national effects, industry-specific effects, and province-specific effects. We find significant comovements in the long run, although province-specific factors still account for one-third of the variance of real output growth in the short run. The results suggest that although economic integration of the Chinese provinces has progressed under reform, it is by no means complete.
Original languageEnglish
Pages (from-to)116-133
Number of pages18
JournalChina Economic Review
Volume13
Issue number2-3
DOIs
Publication statusPublished - 1 Jan 2002

Keywords

  • China
  • Economic growth
  • Error-components model
  • Regional integration

ASJC Scopus subject areas

  • Finance
  • Economics and Econometrics

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