Sigma Convergence versus Beta Convergence: Evidence from U.S. County-Level Data

Andrew Young, Matthew J Higgins, Daniel Levy

Research output: Contribution to journalArticlepeer-review

Abstract

In this paper we outline (i) why sigma-convergence may not accompany beta-convergence, (ii) discuss evidence of sigma-convergence in the U.S., and (iii) use U.S. county-level data containing over 3,000 cross-sectional observations to demonstrate that sigma-convergence cannot be detected at the countylevel across the U.S., or within the large majority of the individual U.S. states considered separately. Indeed, in many cases statistically significant -divergence is found.
Original languageEnglish
Pages (from-to)1083-1093
JournalJournal of Money, Credit, and Banking
StatePublished - Aug 2008

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