Convergence of China’s Urbanization

Abstract

In this study, a flexible Fourier stationary test is applied to evaluate the convergence of China’s urbanization. Whether regional urbanization is suitable for each region varies, but it is important for China’s harmonious development of regional economies. Findings are provided by using a unit root test, and the findings are different from those of previous tests of urbanization level convergence. Results show that the stationary test results for urbanization level vary across different regions; urbanization levels are converged in most provinces in China except for Guangdong, Hunan, and Jiangxi, which have their own economic development rules owing to the open economy and their urbanization processes. Urbanization has converged in China, and the process appears to have been largely stable, which means that government policies are coordinated in most regions. That is, most regional urbanizations are in accordance with each other and with the market, and government authorities are ensuring balanced regional urbanization.