Arbeitspapier

Human Capital and the Economic Convergence Mechanism: Evidence from China

We examine the mechanism by which human capital affects economic growth and convergence, using provincial level panel data from China. We specify alternative measures of human capital and apply them to an enhanced growth model which we estimate parametrically, nonparametrically, and with a threshold model. Our results show that economic convergence is pronouncedly conditional on human capital across all our measures of human capital. The positive "benefit of being backward" due to lower initial income is almost trumped by the negative impact of low levels of human capital among the poorest areas.

Language
Englisch

Bibliographic citation
Series: IZA Discussion Papers ; No. 12224

Classification
Wirtschaft
Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
Multiple or Simultaneous Equation Models: Panel Data Models; Spatio-temporal Models
Subject
human capital
economic convergence
regional economic development

Event
Geistige Schöpfung
(who)
Zhang, Xiaobei
Li, Haizheng
Wang, Xiaojun
Fleisher, Belton M.
Event
Veröffentlichung
(who)
Institute of Labor Economics (IZA)
(where)
Bonn
(when)
2019

Handle
Last update
10.03.2025, 11:44 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Zhang, Xiaobei
  • Li, Haizheng
  • Wang, Xiaojun
  • Fleisher, Belton M.
  • Institute of Labor Economics (IZA)

Time of origin

  • 2019

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