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  • Author or Editor: Xiang Tang x
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As an extension of the neoclassical urban systems theory (Henderson, 1974), we develop a general theory of regional (inter-city) price dispersion which also explains the “subnational Penn effect,” i.e., cross-city correlations among population size, prices, real income and human capital stock. The model is also a theory of international price dispersion that is observationally equivalent to and more appealing than the Balassa-Samuelson theory, implying that the (international) Penn effect may simply be an aggregate result of the “subnational Penn effect.” Furthermore, it shows that, contrary to the popular view, economic integration can increase as well as decrease spatial price variation.

In: Frontiers of Economics in China
Authors: , , and

In this paper we estimate relative consumer price levels as of 2008 for 36 major Chinese cities, using an innovative method purposely designed to rectify three main defects of the existing literature, which are (1) the under-representation of marketized services in the sample data, (2) biased consumption weights, and (3) a mismatch between sample classification and consumption weights. Our estimation results show the “subnational Penn effect” as defined by Tang (2012), i.e., strong inter-city correlations among population size, the relative price level, per capita nominal and real income, and human capital stock, thereby showing that the theoretical model of inter-city price dispersion proposed by Tang (2012) is applicable in China. Our conclusion, methodology, and estimation results have important implications for various aspects of the Chinese economy including the regional, urban and real-estate economies.

In: Frontiers of Economics in China


Vocalization plays an important role in the communication of anurans. In this study, the advertisement calls of male Fejervarya multistriata obtained in Lishui, Zhejiang, China during the breeding season were recorded. Their note number (NN), note duration (ND), note interval (NI), call duration (CD), pitch (PIT), call intensity (CIT) and dominant frequency (DF) were analyzed. The calls of F. multistriata are composed of one to 38 notes, and calls composed of fewer than ten notes have the highest frequency. Male frogs produced calls ranging from 1201 Hz to 3357 Hz with two DFs (1412.49 Hz and 2953.89 Hz). By comparing the differences among individual calls, it was found that the within-individual coefficients of variation (CVW) and among-individual coefficients of variation (CVA) for NN, NI, CD, PIT and DF were more than 10%, whereas that of CIT was less than 5%. The CVA/CVW ratios indicate that ND is important for sexual selection, whereas NN, NI CD, PIT, CIT, and DF are important for individual recognition. Phylogenetic generalized least squares analysis showed that phylogenetic signals affect DF vs. snout-vent length (SVL) and CD of anurans in China, and accounting for phylogenetic signals, DF was negatively correlated with SVL. DF was found to be higher in anurans that breed in flowing water than in those that breed in stagnant water, after eliminating the effects of phylogeny and SVL. Therefore, we conclude that phylogenetic effects, SVL, and the water type of breeding habitats have a combined impact on the advertisement calls in anurans.

In: Animal Biology