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Estimating Chinese Interprovincial OutPut Spillovers with Provincial Input-Output Tables


Author Info

  • Yong HE

    (Centre d'Etudes et de Recherches sur le D�veloppement International)

  • Hong ZHOU
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    This paper aims at estimating productivity improvement of Chinese 17 relatively backward provinces in manufactures through importing manufactured intermediates from advanced provinces on the basis of just published 2002 national and provincial input-output tables. As Chinese regional inequality remains large, North-South spillover models of trade are appropriate to guide this study. Applying reliable methods to approximate net interprovincial imports by province and sector and the allocation of imported manufactured inputs among sectors within each province, we use a Cob-Douglas production function incorporating Dixit-Stiglitz type increasing returns to variety to deal with the manufactured inputs, and treat the output spillovers as one part of total factor productivity. According to our estimations, as expected, interprovincial imports of manufactured inputs have significant impacts on industrial sectors as well on all sectors of these provinces.

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    Bibliographic Info

    Paper provided by CERDI in its series Working Papers with number 201037.

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    Length: 21
    Date of creation: 2010
    Date of revision:
    Handle: RePEc:cdi:wpaper:1224

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    Related research

    Keywords: Chinese interprovincial trade; North-South spillovers; input-output tables; regional inequality; imported intermediates;

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