The convergence dynamics of economic freedom across U.S. states.
This study tests for convergence in economic freedom across the 50 U.S. states from 1981 to 2019. In particular, we test for stochastic convergence in overall economic freedom using unit root tests that account for structural breaks and bounded processes, two sources of parameter instability. We fin...
| Published in: | Southern Economic Journal Vol. 89; no. 4; pp. 1216 - 1242 |
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| Main Authors: | , , , |
| Format: | Article |
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Wiley-Blackwell
Apr2023
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| Subjects: | |
| Online Access: | View this record in EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=ssf&AN=162942924&site=ehost-live header: @attributes: shortDbName: ssf uiTerm: 162942924 longDbName: Social Sciences Full Text (H.W. Wilson) uiTag: AN controlInfo: bkinfo: jinfo: jid: 00384038 SEJ jtl: Southern Economic Journal issn: 00384038 maglogo: N pubinfo: dt: Apr2023 vid: 89 iid: 4 pid: 480 pub: Wiley-Blackwell artinfo: ui: 162942924 10.1002/soej.12629 ppf: 1216 ppct: 26 formats: fmt: – @attributes: type: T – @attributes: type: C – @attributes: type: P size: 3.4MB tig: atl: The convergence dynamics of economic freedom across U.S. states. aug: au: Payne, James E. Saunoris, James W. Nazlioglu, Saban Karul, Cagin affil: Woody L. Hunt College of Business, Paul L. Foster and Alejandra de la Vega Foster Distinguished Chair in International Business and Research Fellow of the Hunt Institute for Global Competitiveness, The University of Texas at El Paso, El Paso Texas,, USA Department of Economics, Eastern Michigan University, Ypsilanti Michigan,, USA Department of International Trade and Finance, Pamukkale University, Denizli, Turkey Department of Economics and Finance, Nisantasi University, Istanbul, Turkey Department of Econometrics, Pamukkale University, Denizli, Turkey su: Economic convergence Economic liberty Stochastic convergence sug: subj: Economic convergence Economic liberty Stochastic convergence keyword: bounded unit roots club convergence economic freedom stochastic convergence structural breaks weak σ‐convergence bounded unit roots club convergence economic freedom stochastic convergence structural breaks weak σ‐convergence ab: This study tests for convergence in economic freedom across the 50 U.S. states from 1981 to 2019. In particular, we test for stochastic convergence in overall economic freedom using unit root tests that account for structural breaks and bounded processes, two sources of parameter instability. We find limited evidence of stochastic convergence. Further analysis of relative (club) convergence and weak σ‐convergence rejects the presence of overall convergence in the panel of the U.S. states, but the emergence of two convergence clubs with respect to state‐level economic freedom. The logit analysis of the determinants of the convergence clubs reveals that more prosperous states and states with a higher initial level of economic freedom have a higher probability of being in the club with more economic freedom. However, more racially diverse states have a lower probability of being in the club with more economic freedom. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: N holdings: @attributes: islocal: N |
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