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Convergence Analysis: Sigma Convergence among Regions of Armenia

Iskandaryan, Artur LU (2010) EKHR21 20101
Department of Economic History
Abstract
Despite being small-size and compact country – with only 200 kilometers stretch from far East to West – the economy of Armenia faces significant spatial differentiation in income levels and is characterized by high concentrations of population, economic and business activities in the capital city with peripheral regions lagging behind economic activity and wages. By using the data on monthly average wages of the Marzes (provinces) this paper seeks to empirically test the hypothesis of income level (wages) divergence in the country using the method of Sigma convergence. By estimating the trend line of the dispersion (coefficient of variation) in monthly average wages among the regions of Armenia I come to a conclusion that income levels... (More)
Despite being small-size and compact country – with only 200 kilometers stretch from far East to West – the economy of Armenia faces significant spatial differentiation in income levels and is characterized by high concentrations of population, economic and business activities in the capital city with peripheral regions lagging behind economic activity and wages. By using the data on monthly average wages of the Marzes (provinces) this paper seeks to empirically test the hypothesis of income level (wages) divergence in the country using the method of Sigma convergence. By estimating the trend line of the dispersion (coefficient of variation) in monthly average wages among the regions of Armenia I come to a conclusion that income levels between the regions of Armenia tend to converge over the analyzed time frame. This finding, however, should be interpreted with caution due to the revealed two sub-periods of divergence among the regions in wages. (Less)
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author
Iskandaryan, Artur LU
supervisor
organization
course
EKHR21 20101
year
type
H1 - Master's Degree (One Year)
subject
keywords
regional disparities, Sigma convergence, income levels divergence, inequality
language
English
id
1666359
date added to LUP
2010-09-02 11:55:19
date last changed
2010-09-02 11:55:19
@misc{1666359,
  abstract     = {Despite being small-size and compact country – with only 200 kilometers stretch from far East to West – the economy of Armenia faces  significant spatial differentiation in income levels and is characterized by high concentrations of population, economic and business activities in the capital city with peripheral regions lagging behind economic activity and wages. By using the data on monthly average wages of the Marzes (provinces) this paper seeks to empirically test the hypothesis of income level (wages) divergence in the country using the method of Sigma convergence. By estimating the trend line of the dispersion (coefficient of variation) in monthly average wages among the regions of Armenia I come to a conclusion that income levels between the regions of Armenia tend to converge over the analyzed time frame. This finding, however, should be interpreted with caution due to the revealed two sub-periods of divergence among the regions in wages.},
  author       = {Iskandaryan, Artur},
  keyword      = {regional disparities,Sigma convergence,income levels divergence,inequality},
  language     = {eng},
  note         = {Student Paper},
  title        = {Convergence Analysis: Sigma Convergence among Regions of Armenia},
  year         = {2010},
}