earticle

영어

This paper analyzed the tendencies of regional income disparities as well as their relationship with economic growth. This study found evidence of convergence of regional incomes for the sample period 1965 to 1990 while regional incomes diverged for the sample period 1991 to 2005. The Granger causality test showed one-directional causality from the economic growth to the regional income disparities for the whole sample period 1965 to 2005. It was also found that the economic growth caused the convergence of regional incomes while regional income differential did not influence the economic growth. However, there was no evidence of causality between the economic growth and regional income disparities for the sample period 1991 to 2005. It was concluded that the knowledge-intensive economic activities partly explain the recent renewed tendency of the regional incomes to diverge.