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| Income Convergence, Technology Convergence and Disparity in Regional Development: Based on Spatial Econometric Analysis of Chinese Prefecture-level Cities |
| Wei Jianguo1 Hu Shaobo1 Guo Chen2 |
| 1.School of Economy, Wuhan University of Technology, Wuhan 430070;2.School of Economics, Huazhong University of Science and Technology, Wuhan 430074 |
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Abstract The paper uses China’s prefecture-level city data to analyze the differences of China’s regional development level by comparing two different convergence methods, namely, income convergence and technology convergence. The main findings are as follows. (1) If each geographic unit is taken as a closed economy, ignoring the economic and geographical correlation between each economy, the convergence will be overlooked, which leads to misunderstanding. (2)Within the whole country, the convergence is significant. And it is also found that the convergence of technology is faster than that of income. The difference of technology contributes most to the development gap of different cities. (3)The paper also finds considerable graphical differences by regressing the city group using the eastern, middle and western city groups. Generally speaking, the economy of the eastern part is more balanced than the middle or western part. Thus, when making regional coordinated development policy, one must lay more stress on technology incentive oriented policies.
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Received: 25 September 2017
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