Empirical Analysis of the Differences between Efficiencies of Economic Development of Central and Eastern Regions Based on SFA
Feng Shou-ping
Abstract
Feng Shou-ping
Abstract
In this paper,by 10provinces'panel data from 1999to 2008,using stochastic frontier production model based on Translog production function,we have an empirical study on technical efficiency,technical progress and total productivity growth in the economic development of central and eastern regions in China.Through the study we found:The technical efficiency and technical progress of central regions are lower than eastern regions,and central regions'economic growth are based more on capital and labor investment,but its technical efficiency changes greatly,which results in total productivity growth is greater than Eastern regions,and there is a convergence trend in the economic development of central and eastern regions.
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In this paper,by 10provinces'panel data from 1999to 2008,using stochastic frontier production model based on Translog production function,we have an empirical study on technical efficiency,technical progress and total productivity growth in the economic development of central and eastern regions in China.Through the study we found:The technical efficiency and technical progress of central regions are lower than eastern regions,and central regions'economic growth are based more on capital and labor investment,but its technical efficiency changes greatly,which results in total productivity growth is greater than Eastern regions,and there is a convergence trend in the economic development of central and eastern regions.
Key concepts: Technical progress, Stochastic frontier analysis, Productivity, Economics, Panel data, Production–possibility frontier, Production (economics), Investment (military)