Analyses of Changes in National and Regional Total Factor Productivity——With A Simultaneous Discussion of the Method to Estimate the Parameter in C-D Production Function Model

C-D production function model and its derived conclusions —— Solow's residual method,is widely used when estimating TFP and its growth. After analyzing,discussing and revising this method in ways of model setting,data acquisition,parameter estimation etc,this paper estimates TFP and its growth rate for the period from 1978 to 2010 in China and in its 31 provinces. The main conclusions are as follows: China's TFP growth rate was high as a whole. TFP growth rate for the period from 2001 to 2010 and from 1978 to 1984 was obviously higher. TFP and its growth rate in the eastern parts were significantly higher than in the central and the western parts. There is a very strong positive correlation between TFP and the economic development level in all provinces,and between TFP growth rate and the economic growth rate as well.