Sigma Convergence Versus Beta Convergence: Evidence from U.S. County-Level Data

Young, Andrew T.; Higgins, Matthew John; Levy, Daniel

doi:10.2139/ssrn.441460

Sigma Convergence Versus Beta Convergence: Evidence from U.S. County-Level Data

Emory Law and Economics Research Paper No. 07-4

18 Pages Posted: 28 Sep 2003

See all articles by Andrew T. Young

Andrew T. Young

Texas Tech University - Rawls College of Business

Matthew John Higgins

University of Utah - Department of Entrepreneurship & Strategy; National Bureau of Economic Research (NBER); Max Planck Law Network - Max Planck Institute for Innovation and Competition

Daniel Levy

Bar-Ilan University - Department of Economics; Emory University - Department of Economics; Rimini Center for Economic Analysis

There are 2 versions of this paper

Date Written: January 23, 2007

Abstract

In this paper we outline (i) why sigma-convergence may not accompany beta-convergence, (ii) discuss evidence of beta-convergence in the U.S., and (iii) use U.S. county-level data containing over 3,000 cross-sectional observations to demonstrate that sigma-convergence has not occurred at the county-level across the U.S., or within the vast majority of the individual U.S. states considered separately. Indeed, in many cases statistically significant σ-divergence is found.

Keywords: sigma-convergence, beta-convergence, Solow growth model, balanced growth, speed of convergence, US county-level data, income distribution, Gini coefficient, income equality

JEL Classification: O40, O11, O18, R11

Suggested Citation: Suggested Citation

Young, Andrew T. and Higgins, Matthew John and Levy, Daniel, Sigma Convergence Versus Beta Convergence: Evidence from U.S. County-Level Data (January 23, 2007). Emory Law and Economics Research Paper No. 07-4, Available at SSRN: https://ssrn.com/abstract=441460 or http://dx.doi.org/10.2139/ssrn.441460