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Article
Club Convergence and Inter-Regional Inequality in Mexico, 1940-2015
Applied Economics (2020)
  • Alfonso Mendoza-Velázquez, Universidad Popular Autónoma del Estado de Puebla
  • Vicente German-Soto, 4128782, Universidad Autónoma de Coahuila
  • Mercedes Monfort, Universitat Jaime I
  • Javier Ordoñez, Universitat Jaime I
Abstract
In this paper, we analyze the convergence patterns in inter-regional inequality and income per capita for the Mexican states over the period 1940-2015. To that end, we apply a time-series approach considering temporal and transitional heterogeneity. Results indicate that Mexican states do not converge to the same long-run equilibrium. Instead of overall convergence, we find club convergence for both regional inequality and income per capita. The existence of clubs means that measures aimed at reducing income inequality and promoting regional growth should consider the specific characteristics revealed in the convergence analyses. Furthermore, pro-growth regional policies in Mexico may not necessarily reduce inter-regional income inequality. Income disparities thus need to be specifically addressed through pro-poor regional policies.
Keywords
  • Club Convergence,
  • Income per capita,
  • Regional Inequality,
  • Mexico
Publication Date
Winter January 6, 2020
DOI
10.1080/00036846.2019.1659491
Citation Information
Mendoza-Velázquez, Alfonso, German-Soto, Vicente, Monfort, Mercedes and Ordóñez, Javier (2020): Club convergence and inter-regional inequality in Mexico, 1940-2015, Applied Economics, 52(6): 598-608. DOI: 10.1080/00036846.2019.1659491.
Creative Commons license
Creative Commons License
This work is licensed under a Creative Commons CC_BY International License.