Convergence of European regions: a reappraisal
T. Azomahou, J. El Ouardighi, P. Nguyen Van & T. Kim Cuong Pham

We provide a reappraisal of income convergence across European regions
over the period 1990-2005 by using a semiparametric partially linear
model to approximate the relationship between the average growth rate of
GDP per capita and the initial GDP per capita. Estimation results point
out both country heterogeneity and non-linearity in the convergence
process. Only low income regions converge while there is little evidence
of convergence for higher income regions.

Key words: Convergence; Heterogeneity; Non-linearity; Kernel estimator;
European regions

JEL classification: C14; O40; O52

UNU-MERIT Working Papers
ISSN 1871-9872

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