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Journal of Economic Integration 1998 December;13(4) :549-570.
Economic Integration of the Chinese Provinces : A Business Cycle Approach

K. K. Tang 

The Australian National University
Copyright ©1998 Journal of Economic Integration
This paper uses correlation of business cycles to gauge the degree of economic integration of the Chinese provinces. The more integrated the provincial economies are, the stronger their correlations should be. Only the correlations between some provinces in eastern China are found to be consistently strong, suggesting that an integrated national economy is yet to be shaped. Secondly, the results imply that treating China as a single entity could be misleading, even at the macro level, especially in understanding China's business cycles. (JEL Classification: E3, O1)
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