China's Capital and Productivity Measurement Using Financial Resources
22 Pages Posted: 24 Feb 2003
Date Written: February 2003
Abstract
This paper constructs China's capital stock, which is used in conjunction with a labor variable to estimate a Cobb-Douglas production function for the Chinese economy. Two panels of data are used - one for capital formation and one for sources of investment finance. Both national and provincial data are used for these two panels, thus giving a total of four capital-stock series. The Cobb-Douglas estimates show that China's total factor productivity was about 3.4 percent in the post-reform years. Productivity of coastal provinces is higher than inner provinces. Among the various sources of investment finance, foreign direct investment is more efficient than state-funded capital stock.
Keywords: China Economic Reform, Provincial Growth and Productivity, Financial Resources
JEL Classification: O47
Suggested Citation: Suggested Citation
Do you have negative results from your research you’d like to share?
Recommended Papers
-
Are Industrial-Country Consumption Risks Globally Diversified?
-
Pitfalls of a State-Dominated Financial System: The Case of China
-
Pitfalls of a State-Dominated Financial System: The Case of China
-
Progress in China's Banking Sector Reform: Has Bank Behavior Changed?
-
International and Intranational Risk Sharing
By Mario J. Crucini and Gregory D. Hess
-
International Risk Sharing and Commodity Prices
By Martin Berka, Mario J. Crucini, ...
-
Consumption, Income, and International Capital Market Integration