Globalization and Regional Income Inequality--Evidence from within China
Guanghua Wan (),
Ming Lu and
Additional contact information
Ming Lu: Employment & Social Security Research Center, & China Center for Economic Studies, Fudan University
Zhao Chen: China Center for Economic Studies, Fudan University
Econometrics from EconWPA
China¡¯s recent accession to the WTO is expected to accelerate its integration into the world economy, which aggravates concerns over the impact of globalization on the already rising inter-region income inequality in China. This paper discusses China¡¯s globalization process and estimates an income generating function, incorporating trade and FDI variables. It then applies the newly developed Shapley value decomposition technique to quantify the contributions of globalization, along with other variables, to regional inequality. It is found that (a) globalization constitutes a positive and substantial share to regional inequality and the share rises over time; (b) capital is one of the largest and increasingly important contributor to regional inequality; (c) economic reform characterized by privatization exerts a significant impact on regional inequality; and (d) the relative contributions of education, location, urbanization and dependency ratio to regional inequality have been declining.
JEL-codes: C1 C2 C3 C4 C5 C8 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-cna, nep-geo and nep-tra
Note: Type of Document - pdf; pages: 28
References: Add references at CitEc
Citations View citations in EconPapers (5) Track citations by RSS feed
Downloads: (external link)
Working Paper: Globalization and Regional Income Inequality: Evidence from within China (2010)
Working Paper: Globalization and Regional Income Inequality: Evidence from within China (2004)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: http://EconPapers.repec.org/RePEc:wpa:wuwpem:0511014
Access Statistics for this paper
More papers in Econometrics from EconWPA
Series data maintained by EconWPA ().