Papers on Convergence, Spatial Income inequality, Fiscal Decentralisation

"The general argument of this survey has been that rather than there being different ways to measure a single concept, convergence, the different measures are measuring different aspects of the growth process, which cannot be summarised in a single statistic like the speed of adjustment or rate of convergence. Thus it is important to be specific about the question being asked, in particular convergence to what, and to tailor the question to the nature of the available data, in particular to the dimensions of N and T: One can estimate relatively simple models with small data-sets, more complex models with more parameters require larger data-sets. There is the inevitable trade-off between bias and efficiency: adding more parameters reduces the possibility of bias but also increases the variance of the estimators."