Convergence in Income and Human Development in Major Asian Countries

There is huge literature on convergence debate starting with Barro and Sala-i-Martin (1992) and Mankiw, et. al. (1992). Most of the studies deal with developed versus developing economies. However, research on emerging economies of Asia is vital as world's two most populous countries are in Asia. This paper analyses σ convergence and β convergence (conditional as well as unconditional) in the levels of per capita GDP and various indicators of human development in thirteen major Asian countries during 1991 to 2013. The countries included in this study are Bangladesh, Bhutan, China, India, Indonesia, Malaysia, Nepal, Pakistan, Philippines, Sri Lanka, Thailand, Turkey and Vietnam. These Asian economies have experienced spectacular growth in their GDP and GDP per capita during the study period. Growth rates have been higher especially for countries like China, India, Bhutan, Vietnam, Malaysia and Sri Lanka. Hence, it is vital to investigate the convergence patterns in income and human development in the Asian economies during 1991 to 2013.