 REGIONAL CONVERGENCE IN LARGE EMERGING ECONOMIES: A DISTRIBUTION DYNAMICS APPROACHMacroeconomic Dynamics, 2021, vol. 25, issue 1, 154-177 Abstract: Rapid growth in large emerging economies has been spread unequally across their regions leading to growing income disparities. This paper examines the distribution of regional output per capita and the evolution of its shape in Brazil, China, India, and Russia from the mid-1990s to the mid-2010s. A comparative analysis of convergence is conducted using a nonparametric methodology. The results reveal different distribution dynamics across the four economies. Chinese regions with below-median output per capita have the highest probability of transitioning toward higher-income levels, while their Brazilian counterparts are trapped at the bottom of the distribution. Although India has the lowest and Russia one of the highest regional income inequalities, they display similar divergence patterns exemplified by high persistence at both ends of the distribution. Our findings indicate that government spending and the rule of law are the major driving forces behind regional convergence, except in Russia where they have the opposite effect. Innovation and property rights also promote convergence in China, but cause regional divergence in India. Date: 2021 Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:cup:macdyn:v:25:y:2021:i:1:p:154-177_8 Access Statistics for this article More articles in Macroeconomic Dynamics from Cambridge University Press Cambridge University Press, UPH, Shaftesbury Road, Cambridge CB2 8BS UK. |
Is your work missing from RePEc? Here is how to contribute.
Questions or problems? Check the EconPapers FAQ or send mail to .
EconPapers is hosted by the
School of Business at Örebro University.