Globalization and Regional Income Inequality: Empirical Evidence from Within China

Guanghua Wan, Ming Lu and Zhao Chen

No RP2006-139, WIDER Working Paper Series from World Institute for Development Economic Research (UNU-WIDER)

Abstract: 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-regional 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.

Keywords: Equality and inequality; Globalization; Income; International trade; Regional economics (search for similar items in EconPapers)
Date: 2006
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Citations: View citations in EconPapers (3)

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Journal Article: GLOBALIZATION AND REGIONAL INCOME INEQUALITY: EMPIRICAL EVIDENCE FROM WITHIN CHINA (2007)
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