Toward Sustainable Economic Growth: A Spatial Panel Data Analysis of Regional Income Convergence in US BEA Economic Areas

摘要: A question fundamental to sustainable economic growth is whether a poor region tends grow faster than rich one, such that the catches up with in terms of level per capita income. In this article, we apply spatial panel data approach analysis regional income convergence across 177 areas contiguous US states over period from 1969 2009. Using on incomes functionally defined areas, find absolute value estimated coefficient initial decreases and time-period fixed effects lag model increases error model. This result implies rate specific area will be not only directly affected by an exogenous shock introduced into but also impacted more both indirect first-order neighboring induced higher-order areas. gives helpful hints issue interaction policy coordination start virtuous circle growth.