The sources of the evolution of China's provincial economic gap: A green economic growth accounting perspective

Arbeitspapier

The inter-provincial economic gap in China is obvious and tends to expand, although it is still unclear why this occurs. This paper combines DEA-based green economic growth accounting, growth convergence test and distribution dynamic analysis to show that China's inter-provincial labor productivity demonstrated significant growth convergence between 1997 and 2016, while it was significantly promoted by capital deepening and obviously inhibited by technological progress and human capital accumulation, and the effect of technological efficiency change remained unclear. In addition, the gap of labor productivity level in China's provinces widened significantly, which can be largely attributed to the combined effects of technological progress and capital deepening. The economic growth accounting analysis ignoring Energy and environmental factors tends to overestimate the relative contribution of factor accumulation and underestimate that of TFP changes, while ignoring human capital will lead to opposite biased results, but both of which do not change the qualitative conclusions mentioned above.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Economics Discussion Papers ; No. 2020-3

Classification and Topics

• Classification: Wirtschaft ; Economic Development: Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure ; Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence ; Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
• Subject: counterfactual analysis ; distribution dynamic analysis ; green economic growth accounting ; multimodal test ; non-parametric test

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Yang, Wenju ; Long, Ruiyun
• Event: Veröffentlichung
• (who): Kiel Institute for the World Economy (IfW)
• (where): Kiel
• (when): 2020

Further information

• Handle: http://hdl.handle.net/10419/214840
• Last update: 10.03.2025, 11:44 AM CET