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Technical Efficiency and Its Determinants in Chinese Manufacturing Sector

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Author Info
Yanrui Wu
Abstract

This paper examines technical efficiency and its determinants in Chinese manufacturing industries using survey data at the sector level. A stochastic frontier approach is applied to estimate technical efficiency rates for individual sectors. In particular, the empirical analysis focuses on regional comparisons of manufacturing performance and the determinants of technical efficiency among the sectors. The findings are used to draw policy implications for regional economic development.

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Paper provided by The University of Western Australia, Department of Economics in its series Economics Discussion / Working Papers with number 02-15.

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Length: 21 pages
Date of creation: 2002
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Handle: RePEc:uwa:wpaper:02-15

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Related research
Keywords: Frontier approach; technical efficiency; manufacturing; determinants;

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Find related papers by JEL classification:
C2 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables
O4 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
O53 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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  1. Jefferson, Gary H & Rawski, Thomas G & Yuxin, Zheng, 1992. "Growth, Efficiency, and Convergence in China's State and Collective Industry," Economic Development and Cultural Change, University of Chicago Press, vol. 40(2), pages 239-66, January.
  2. Sean M. Dougherty & Robert H. McGuckin, 2004. "The Effects of Federalism and Privatization on Productivity in Chinese Firms," Development and Comp Systems 0411016, EconWPA. [Downloadable!]
    Other versions:
  3. Fleisher, Belton M. & Chen, Jian, 1997. "The Coast-Noncoast Income Gap, Productivity, and Regional Economic Policy in China," Journal of Comparative Economics, Elsevier, vol. 25(2), pages 220-236, October. [Downloadable!] (restricted)
  4. Lau, Kam-Tim & Brada, Josef C., 1990. "Technological progress and technical efficiency in Chinese industrial growth: A frontier production function approach," China Economic Review, Elsevier, vol. 1(2), pages 113-124. [Downloadable!] (restricted)
  5. Battese, G E & Coelli, T J, 1995. "A Model for Technical Inefficiency Effects in a Stochastic Frontier Production Function for Panel Data," Empirical Economics, Springer, vol. 20(2), pages 325-32.
  6. Groves, Theodore, et al, 1994. "Autonomy and Incentives in Chinese State Enterprises," The Quarterly Journal of Economics, MIT Press, vol. 109(1), pages 183-209, February. [Downloadable!] (restricted)
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  7. Coelli, T. J., 1992. "A computer program for frontier production function estimation : Frontier version 2.0," Economics Letters, Elsevier, vol. 39(1), pages 29-32, May. [Downloadable!] (restricted)
  8. Borensztein, Eduardo & Ostry, Jonathan D, 1996. "Accounting for China's Growth Performance," American Economic Review, American Economic Association, vol. 86(2), pages 224-28, May. [Downloadable!] (restricted)
  9. Meeusen, Wim & van den Broeck, Julien, 1977. "Efficiency Estimation from Cobb-Douglas Production Functions with Composed Error," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 18(2), pages 435-44, June. [Downloadable!] (restricted)
  10. McMillan, John & Whalley, John & Zhu, Lijing, 1989. "The Impact of China's Economic Reforms on Agricultural Productivity Growth," Journal of Political Economy, University of Chicago Press, vol. 97(4), pages 781-807, August. [Downloadable!] (restricted)
  11. Wu, Yanrui, 2000. "Is China's economic growth sustainable? A productivity analysis," China Economic Review, Elsevier, vol. 11(3), pages 278-296. [Downloadable!] (restricted)
  12. Liu, Zinan & Zhuang, Juzhong, 1998. "Evaluating Partial Reforms in the Chinese State Industrial Sector: A Stochastic Frontier Cost Function Approach," International Review of Applied Economics, Taylor and Francis Journals, vol. 12(1), pages 9-24, January.
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