Economic Integration and Convergence: The Case of Central Appalachia in the US

Teame Ghirmay

Document Type

Article

Publication Date

2014

Abstract

Using time-series regression techniques and the notion of stochastic convergence, the paper analyzes the long term real income per capita trends in the Central Appalachian counties in the US to determine whether economic integration has resulted in the lagging Appalachian region converging to the national economy. Results from the empirical analysis show little evidence of convergence or catching up of per capita income in the region to that of the nation. The results, however, provide evidence of catching-up to the average per capita income in the states where the Central Appalachian counties are located.

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