Intra-Provincial Inequalities and Economic Growth in China

Posted: 30 Jul 2011

See all articles by Joanna Gravier-Rymaszewska

Joanna Gravier-Rymaszewska

Nanyang Technological University (NTU) - Division of Economics

Joanna Tyrowicz

National Bank of Poland; University of Warsaw

Jacek Kochanowicz

Warsaw University - Department of Economics; Central European University

Date Written: 2010

Abstract

This paper approaches the problem of inequalities in China. It is specifically focused on analyzing the effects of intra-provincial disparities on the development of the 28 mainland provinces in China. Intra-provincial inequalities, as measured by the Theil index, seem positively related to growth, albeit the results are only convincing for the coastal provinces. A case by case analysis, however, suggests highly diversified patterns, including linear or an inverted U-shape for the fastest growing coastal provinces and virtually no relationship for the majority of regions. The results corroborate some questions raised earlier about actual policy-making standards in China.

Keywords: Inequality, Economic growth, Theil index, China

JEL Classification: D63, P25, P30

Suggested Citation

Gravier-Rymaszewska, Joanna and Tyrowicz, Joanna and Kochanowicz, Jacek, Intra-Provincial Inequalities and Economic Growth in China (2010). Economic Systems, Vol. 34, No. 3, 2010, Available at SSRN: https://ssrn.com/abstract=1898707

Joanna Gravier-Rymaszewska

Nanyang Technological University (NTU) - Division of Economics ( email )

HSS 04-53, 14 Nanyang Drive
Singapore, 639798
Singapore

Joanna Tyrowicz (Contact Author)

National Bank of Poland

00-919 Warsaw
Poland

University of Warsaw ( email )

Krakowskie Przedmiescie 26/28
Warszawa, Pl-00681
Poland

Jacek Kochanowicz

Warsaw University - Department of Economics ( email )

Warsaw, 00-241
Poland

Central European University

Nador utca 9
Budapest, H-1051
Hungary

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