Dissertation > Economic > Industrial economy > China Industrial Economy > Industrial construction and development

The Research on the Total Factor Productivity of the Manufacturing Industry in China

Author ZhangShengNan
Tutor ZhouLi
School Xinjiang University of Finance and Economics
Course National Economics
Keywords China’s manufacturing industry TFP Technologicaladvances Transition of economy
CLC F424
Type Master's thesis
Year 2013
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With the rapid development of Chinese economy,our real GDP per capita has reached$4,000,then our country also has come to middle-income level. However, behind the highgrowth is the high investment and high consumption,in order To analyze the efficiency of themanufacturing industry in the country and region,we research the TFP ofmanufacturing.Found that China’s manufacturing industry is facing a severe test:Thecontradictions accumulated in the course of their own development in this period haveshown;Regression trend of the international market on the real economy posed a challenge onChina. Learning from the East Asian countries to draw on the increasing emphasis ontechnological innovation and human resources,at the same time,teaching from LatinAmerican countries to fall into the trap,this article aims to show that China should be timelytake technical updates and industrial upgrading.As we know,TFP is an important indicator to measure the level of production of aneconomy,by the input-output analysis of the manufacturing sector in the national economy aswell as the influence of other industries,this article use Malm-quist index model to measurethe TFP value of our manufacturing.At this time,our data comes from the manufacturinginputs and outputs of the various provinces and cities in the years2001-2011.The analysisdisplays that China’s manufacturing TFP was positive growth,whatever technological progressis the main engine of this growth.But the value of the TFP in the manufacturing sector islower,even though the highest year,the value of TFP only has1.206,this is much lower thanthe East Asian countries in the1980s.Based on the above analysis,this paper presents the recommendations of the East Asiancountries,at the same time combine with China’s national conditions to emphasis on thedevelopment of the real economy,especially the transformation and upgrading of themanufacturing sector and the cultivation of human capital. At last, improving the level oftotal factor productivity of China’s manufacturing industry, and carring out the dualdevelopment of the technological progress and the technical efficiency.

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