10.4225/03/5938f7a95b2ab Narayan, Paresh Kumar Paresh Kumar Narayan Nielsen, Ingrid Ingrid Nielsen Smyth, Russell Russell Smyth Panel Data, Cointegration, Causality and Wagner's Law: Empirical Evidence from Chinese Provinces Monash University 2017 2006 monash:7039 1959.1/36480 2017-06-08 07:07:20 Journal contribution https://bridges.monash.edu/articles/journal_contribution/Panel_Data_Cointegration_Causality_and_Wagner_s_Law_Empirical_Evidence_from_Chinese_Provinces/5091706 This paper tests Wagner's law of increasing state activity using panels of Chinese provinces. The paper's main methodological contribution is in that we employ for the first time in the literature on Wagner's law a panel unit root, panel cointegration and Granger Causality testing approach. Overall, we find mixed evidence in support of Wagner's law for China's central and western provinces, but no support for Wagner's law for the full panel of provinces or for the panel of China's eastern provinces.