Regional disparities and productivity in China: Evidence from manufacturing micro data

Rizov, Marian and Zhang, Xufei (2014) Regional disparities and productivity in China: Evidence from manufacturing micro data. Papers in Regional Science, 93 (2). pp. 321-340. ISSN 1056-8190

Full content URL: http://onlinelibrary.wiley.com/doi/10.1111/pirs.12...

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Regional disparities and productivity in China: Evidence from manufacturing micro data

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Abstract

In this paper we first estimate firm-specific total factor productivities within 2-digit
manufacturing industries using a semi-parametric algorithm and micro data for the period
2000–2007. Next, to characterize regional disparities in China we compute aggregate productivity
by the categories of three regional typologies, based on population density, coastal-inland,
and rural-urban criteria. We analyse the productivity differentials across the categories of the
typologies by decomposing regional productivity level and growth into productivity effect and
industry composition effect. We find clear evidence of regional convergence. Besides density of
economic activity, recent policy and structural factors seem to affect regional productivity level
and growth differentials.

Keywords:Productivity, regional disparities, inequality, convergence, China, micro data, JCNotOpen
Subjects:L Social studies > L140 Econometrics
L Social studies > L721 Economic Geography
L Social studies > L110 Applied Economics
Divisions:Lincoln International Business School
ID Code:19045
Deposited On:16 Oct 2015 08:01

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