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Convergence in China's Regional Agricultural Productivity: Catching up or Lagging Behind?

Author

Listed:
  • Wang, S.L.
  • Huang, J.
  • Wang, X.
  • Tuan, F.

Abstract

In this study, we use a multilateral total factor productivity (TFP) panel data, spanning 1985-2013 period, to test hypotheses of convergence to a single TFP level (σ convergence) and to a region-specific steady state TFP growth rate (β convergence) for China’s farm sector. Results show that there is no evidence of an overall σ convergence across all provinces. However, we find robust evidences of β convergence. Estimated rates of β convergence are conditional on how we capture the heterogeneity across regions. Overall, the rate of β convergence ranges from 0.016 to 0.039. Estimates also show that higher growth rate of education, R&D, capital/labor ratio, or intermediate goods/labor ratio can boost the rate of TFP growth.

Suggested Citation

  • Wang, S.L. & Huang, J. & Wang, X. & Tuan, F., 2018. "Convergence in China's Regional Agricultural Productivity: Catching up or Lagging Behind?," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 276051, International Association of Agricultural Economists.
  • Handle: RePEc:ags:iaae18:276051
    DOI: 10.22004/ag.econ.276051
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    File URL: http://ageconsearch.umn.edu/record/276051/files/2010.pdf
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    References listed on IDEAS

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    Keywords

    Agricultural and Food Policy; International Development;

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