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Testing for convergence: evidence from non‐parametric multimodality tests
Author(s) -
Bianchi Marco
Publication year - 1997
Publication title -
journal of applied econometrics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 2.878
H-Index - 99
eISSN - 1099-1255
pISSN - 0883-7252
DOI - 10.1002/(sici)1099-1255(199707)12:4<393::aid-jae447>3.0.co;2-j
Subject(s) - bimodality , nonparametric statistics , convergence (economics) , multimodality , econometrics , parametric statistics , contrast (vision) , statistical hypothesis testing , distribution (mathematics) , economics , statistics , mathematics , computer science , artificial intelligence , macroeconomics , world wide web , mathematical analysis , physics , quantum mechanics , galaxy
In this paper, we test the convergence hypothesis in a cross‐section of 119 countries by means of bootstrap multimodality tests and nonparametric density estimation techniques. By looking at the density distribution of GDP across countries in 1970, 1980 and 1989, we find low mobility patterns of intra‐distribution dynamics and increasing evidence for bimodality. The findings stand in sharp contrast with the convergence prediction. © 1997 John Wiley & Sons, Ltd.