Financial Reforms, Growth and Regional Disparity in China

Zhicheng Liang ()
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Zhicheng Liang: Centre d'Etudes et de Recherches sur le Développement International(CERDI)

No 200732, Working Papers from CERDI

Abstract: In this paper, by employing the Generalized Method of Moment (GMM) techniques and Chinese provincial level data from 1991 to 2003, we empirically investigate the relationship between finance and growth in post-reform China. We find that financial development significantly promotes economic growth in coastal regions but not in inland regions; the weak finance-growth nexus in inland provinces has exacerbated China’s regional disparity.

Keywords: Financial Development; Income disparity; Chinese Economy (search for similar items in EconPapers)
Pages: 16
Date: 2007
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Persistent link: https://EconPapers.repec.org/RePEc:cdi:wpaper:933

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