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2008•Journal of Huaqiao UniversityRequires access

Total Factor Productivity and Sources of Economic Growth in Fujian

Xiahai Wei

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Abstract

Based on Solow's residual method,this paper estimates total factor productivity growth rate between 1979 and 2006 in Fujian,and analyses the changes of total factor productivity growth and its contribution to economic growth.The main conclusions are as follows:(1) the contribution of TFP fluctuated at high level in the 1980s and grew up slightly in the 1990s;(2) after 1999,the contribution of TFP shows a dramatic downward trend.Therefore,the contribution of total factor productivity was lower which suggested that Fujian's economic growth was capital-driven growth.

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What this paper is about

Based on Solow's residual method,this paper estimates total factor productivity growth rate between 1979 and 2006 in Fujian,and analyses the changes of total factor productivity growth and its contribution to economic growth.The main conclusions are as follows:(1) the contribution of TFP fluctuated at high level in the 1980s and grew up slightly in the 1990s;(2) after 1999,the contribution of TFP shows a dramatic downward trend.Therefore,the contribution of total factor productivity was lower which suggested that Fujian's economic growth was capital-driven growth.

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Available abstract

Based on Solow's residual method,this paper estimates total factor productivity growth rate between 1979 and 2006 in Fujian,and analyses the changes of total factor productivity growth and its contribution to economic growth.The main conclusions are as follows:(1) the contribution of TFP fluctuated at high level in the 1980s and grew up slightly in the 1990s;(2) after 1999,the contribution of TFP shows a dramatic downward trend.Therefore,the contribution of total factor productivity was lower which suggested that Fujian's economic growth was capital-driven growth.

Key concepts: Total factor productivity, Solow residual, Productivity, Economics, Growth accounting, Growth rate, Capital (architecture), Agricultural economics

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