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Are US regional incomes converging? A nonlinear perspective
[journal article]
Abstract This article deviates from the current practice of regional convergence by allowing output convergence to follow a non-linear process. In this scenario all standard linear unit root tests have low power, thus frequently leading to misguided conclusions. In light of this we adopt a unit root test bas... view more
This article deviates from the current practice of regional convergence by allowing output convergence to follow a non-linear process. In this scenario all standard linear unit root tests have low power, thus frequently leading to misguided conclusions. In light of this we adopt a unit root test based on a non-linear model which tests the null hypothesis of a unit root against a non-linear alternative. Our findings overwhelmingly support the tendency of US regions to converge over time.... view less
Classification
Area Development Planning, Regional Research
Document language
English
Publication Year
2007
Page/Pages
p. 525-530
Journal
Regional Studies, 41 (2007) 4
DOI
https://doi.org/10.1080/00343400601120254
Status
Postprint; peer reviewed
Licence
PEER Licence Agreement (applicable only to documents from PEER project)