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1978-2008 China TFP change and its decomposition

Author: HaoRan
Tutor: SongZuo
School: Fudan University
Course: Western Economics
Keywords: TFP technical progress technical efficiency Malmquist index
CLC: F224
Type: Master's thesis
Year: 2011
Downloads: 403
Quote: 1
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Abstract


Based on panel data including 30 provinces from 1978 to 2008, this paper applies DEA-Malmquist index method to estimate and decompose total factor productivity (TFP)of China.The main conclusions are as follows:(1) TFP of the whole country increases at first and then decreases during the sample period and the main reason for its growth changes from technical efficiency to technical progress.(2)TFP growth rate in east、west、central area decreases one by one and the power of TFP’growth in east area is technical progress while in west area is technical efficiency. (3) The technical efficiency gap on the provincial level has been becoming wider and wider. And it is different growth rate of technical progress but not technical efficiency gap that results in different provincial TFP in the long run.

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CLC: > Economic > Economic planning and management > Economic calculation, economic and mathematical methods > Economic and mathematical methods
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