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The Impact of Public Expenditure and International Trade on Agricultural Productivity in China

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  • Binlei Gong

Abstract

The “industry nurturing agriculture” reforms and World Trade Organization accession led to dramatic growth in public expenditure and international trade in China’s agricultural sector. This article aims to estimate the effects of public expenditure and trade on agricultural productivity in China for 2004–2015. A semi-parametric production function with shape constraints is introduced to derive more accurate productivity before the productivity determinants are analyzed with an emphasis on public expenditure and trade. The empirical result shows that public expenditure and exports can effectively improve agricultural productivity, while imports have no significant effects. Policy implications are discussed in the context of supply-side reforms.

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  • Binlei Gong, 2018. "The Impact of Public Expenditure and International Trade on Agricultural Productivity in China," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 54(15), pages 3438-3453, December.
    • Handle: RePEc:mes:emfitr:v:54:y:2018:i:15:p:3438-3453
    DOI: 10.1080/1540496X.2018.1437542
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    Cited by:

    1. Gong, Binlei, 2018. "Interstate competition in agriculture: Cheer or fear? Evidence from the United States and China," Food Policy, Elsevier, vol. 81(C), pages 37-47.
    2. Deng, Haiyan & Zheng, Wangyi & Shen, Zhiyang & Štreimikienė, Dalia, 2023. "Does fiscal expenditure promote green agricultural productivity gains: An investigation on corn production," Applied Energy, Elsevier, vol. 334(C).
    3. Nwosa, Philip Ifeakachukwu, 2021. "Complement or substitute: Private investment, public expenditure and agricultural productivity in Nigeria," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, vol. 16(3), September.
    4. Binlei Gong, 2020. "New Growth Accounting," American Journal of Agricultural Economics, John Wiley & Sons, vol. 102(2), pages 641-661, March.
    5. Chen, Shuai & Gong, Binlei, 2021. "Response and adaptation of agriculture to climate change: Evidence from China," Journal of Development Economics, Elsevier, vol. 148(C).
    6. Gong, Binlei, 2020. "Agricultural productivity convergence in China," China Economic Review, Elsevier, vol. 60(C).
    7. Gong, Binlei, 2020. "Measuring and Achieving World Agricultural Convergence," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304347, Agricultural and Applied Economics Association.
    8. Xiang Yin & Zhiyi Meng & Xin Yi & Yong Wang & Xia Hua, 2021. "Are “Internet+” tactics the key to poverty alleviation in China’s rural ethnic minority areas? Empirical evidence from Sichuan Province," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 7(1), pages 1-19, December.
    9. Yanling Chen & Weiwei Fu & Jingyun Wang, 2022. "Evaluation and Influencing Factors of China’s Agricultural Productivity from the Perspective of Environmental Constraints," Sustainability, MDPI, vol. 14(5), pages 1-20, February.

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