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The total factor productivity growth decomposition of agricultural production in east regions: Based on panel data of 2000∼2007

Xungang Zheng

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Abstract

In this paper analyses the total factor productivity growth decomposition of agricultural production in east regions of 2000–2007 with stochastic frontier production function approach, split total factor productivity changes into 4 components: technical Progress, technical efficiency change, scale efficiency, allocative inefficiency. The result shows: rate of total factor productivity increase is 7.09% on average in 2000–2007 of east agricultural production, The influence on increasing in total factor productivity is mainly technical progress, allocative inefficiency and scale efficiency. The technical progress is the main motive force, accounts for 103.41% on average, scale efficiency accounts for 7.56%, the change of technical efficiency is the downward trend, accounts for 1.55% the influence of resource distribution is reverse, accounts for 9.42% on average. Improving the agricultural production technology efficiency level in the east, need to popularize agriculture's new variety and new technology, adjust resource allocative structure.

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In this paper analyses the total factor productivity growth decomposition of agricultural production in east regions of 2000–2007 with stochastic frontier production function approach, split total factor productivity changes into 4 components: technical Progress, technical efficiency change, scale efficiency, allocative inefficiency. The result shows: rate of total factor productivity increase is 7.09% on average in 2000–2007 of east agricultural production, The influence on increasing in total factor productivity is mainly technical progress, allocative inefficiency and scale efficiency. The technical progress is the main motive force, accounts for 103.41% on average, scale efficiency accounts for 7.56%, the change of technical efficiency is the downward trend, accounts for 1.55% the influence of resource distribution is reverse, accounts for 9.42% on average. Improving the agricultural production technology efficiency level in the east, need to popularize agriculture's new variety and new technology, adjust resource allocative structure.

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Available abstract

In this paper analyses the total factor productivity growth decomposition of agricultural production in east regions of 2000–2007 with stochastic frontier production function approach, split total factor productivity changes into 4 components: technical Progress, technical efficiency change, scale efficiency, allocative inefficiency. The result shows: rate of total factor productivity increase is 7.09% on average in 2000–2007 of east agricultural production, The influence on increasing in total factor productivity is mainly technical progress, allocative inefficiency and scale efficiency. The technical progress is the main motive force, accounts for 103.41% on average, scale efficiency accounts for 7.56%, the change of technical efficiency is the downward trend, accounts for 1.55% the influence of resource distribution is reverse, accounts for 9.42% on average. Improving the agricultural production technology efficiency level in the east, need to popularize agriculture's new variety and new technology, adjust resource allocative structure.

Key concepts: Allocative efficiency, Total factor productivity, Inefficiency, Production–possibility frontier, Agricultural productivity, Economics, Technical change, Productivity

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