IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Log in (now much improved!) to save this article

Benchmark wealth capital stock estimations across China's 344 prefectures: 1978 to 2012

Listed author(s):
  • WU, Jidong
  • LI, Ning
  • SHI, Peijun
Registered author(s):

    Measures of wealth (‘net’) capital stock (WKS) can be used for measuring economic exposure to natural disasters and thus are essential for disaster risk management in terms of both quick loss estimation during emergency responses and post-disaster planning for recovery and reconstruction. Today, the improved availability of statistical data and the progress of capital stock estimation methods have made it possible to produce datasets of WKS on the prefecture level. By applying the perpetual inventory method (PIM) to estimate prefecture-level WKS in China from 1978 to 2012, this paper aims to illustrate both the methodology for generating the WKS dataset and the utility of the WKS as a useful indicator of economic exposure to potential hazards. The estimation results indicate that the accumulated WKS for Mainland China had reached RMB 152 trillion by 2012, and it has maintained an average annual growth rate of 14% since 1990. Spatially, the uneven distribution of WKS is distinct, with approximately 47% being concentrated in the eastern economic region, and approximately 60% to 22% of China's prefectures. Methodologically, the dataset can easily be extended to more recent years with available data. Furthermore, a systematic sensitivity analysis indicates that the depreciation rate is the most important parameter for WKS estimates. Notwithstanding certain limitations, the paper concludes that such WKS estimates, in particular with its finer spatial resolution, offer a useful baseline for quick disaster loss estimation.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL: http://www.sciencedirect.com/science/article/pii/S1043951X14001382
    Download Restriction: Full text for ScienceDirect subscribers only

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Article provided by Elsevier in its journal China Economic Review.

    Volume (Year): 31 (2014)
    Issue (Month): C ()
    Pages: 288-302

    as
    in new window

    Handle: RePEc:eee:chieco:v:31:y:2014:i:c:p:288-302
    DOI: 10.1016/j.chieco.2014.10.008
    Contact details of provider: Web page: http://www.elsevier.com/locate/chieco

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

    as
    in new window


    1. Jorgenson, Dale W, 1996. "Empirical Studies of Depreciation," Economic Inquiry, Western Economic Association International, vol. 34(1), pages 24-42, January.
    2. Kohli, Ulrich, 1982. "Production theory, technological change, and the demand for imports," European Economic Review, Elsevier, vol. 18(2), pages 369-386.
    3. Holz, Carsten A., 2006. "New capital estimates for China," China Economic Review, Elsevier, vol. 17(2), pages 142-185.
    4. Zuliu F. Hu & Mohsin S. Khan, 1997. "Why Is China Growing So Fast?," IMF Staff Papers, Palgrave Macmillan, vol. 44(1), pages 103-131, March.
    5. Jefferson, Gary H. & Rawski, Thomas G. & Zheng, Yuxin, 1996. "Chinese Industrial Productivity: Trends, Measurement Issues, and Recent Developments," Journal of Comparative Economics, Elsevier, vol. 23(2), pages 146-180, October.
    6. Isabel Seifert & Annegret Thieken & Mirjam Merz & Dietmar Borst & Ute Werner, 2010. "Estimation of industrial and commercial asset values for hazard risk assessment," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 52(2), pages 453-479, February.
    7. Jun Zhang, 2008. "Estimation of China's provincial capital stock (1952-2004) with applications," Journal of Chinese Economic and Business Studies, Taylor & Francis Journals, vol. 6(2), pages 177-196.
    8. Robert E. Hall & Charles I. Jones, 1999. "Why do Some Countries Produce So Much More Output Per Worker than Others?," The Quarterly Journal of Economics, Oxford University Press, vol. 114(1), pages 83-116.
    9. Wang, Lili & Szirmai, Adam, 2012. "Capital inputs in the Chinese economy: Estimates for the total economy, industry and manufacturing," China Economic Review, Elsevier, vol. 23(1), pages 81-104.
    10. Wang, Yan & Yao, Yudong, 2003. "Sources of China's economic growth 1952-1999: incorporating human capital accumulation," China Economic Review, Elsevier, vol. 14(1), pages 32-52.
    11. Chow, Gregory C & Li, Kui-Wai, 2002. "China's Economic Growth: 1952-2010," Economic Development and Cultural Change, University of Chicago Press, vol. 51(1), pages 247-256, October.
    12. Raymond W. Goldsmith, 1951. "A Perpetual Inventory of National Wealth," NBER Chapters,in: Studies in Income and Wealth, Volume 14, pages 5-73 National Bureau of Economic Research, Inc.
    13. Qin, Bo & Zhang, Yu, 2014. "Note on urbanization in China: Urban definitions and census data," China Economic Review, Elsevier, vol. 30(C), pages 495-502.
    14. Nazrul Islam & Erbiao Dai & Hiroshi Sakamoto, 2006. "Role of TFP in China's Growth ," Asian Economic Journal, East Asian Economic Association, vol. 20(2), pages 127-159, 06.
    15. Gregory C. Chow, 1993. "Capital Formation and Economic Growth in China," The Quarterly Journal of Economics, Oxford University Press, vol. 108(3), pages 809-842.
    16. Yanrui Wu, 2007. "Capital Stock Estimates for China's Regional Economies: Results and Analyses," Economics Discussion / Working Papers 07-16, The University of Western Australia, Department of Economics.
    17. Holz, Carsten A., 2006. "Response to Gregory C. Chow's "New Capital Estimates for China: Comments"," China Economic Review, Elsevier, vol. 17(2), pages 193-197.
    18. Alwyn Young, 2003. "Gold into Base Metals: Productivity Growth in the People's Republic of China during the Reform Period," Journal of Political Economy, University of Chicago Press, vol. 111(6), pages 1220-1261, December.
    19. Christophe Kamps, 2006. "New Estimates of Government Net Capital Stocks for 22 OECD Countries, 1960-2001," IMF Staff Papers, Palgrave Macmillan, vol. 53(1), pages 1-6.
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:eee:chieco:v:31:y:2014:i:c:p:288-302. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dana Niculescu)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.