A Study on Input-output Efficiency of China's Economic Development

Viewing from the input and output of China's economic development,the economic development efficiency of 30 provinces in China during the period of 2008-2012 is analyzed by using the Malmquist Index model,while the impact of environment variables and random interference factors is revised. The result shows that,from static perspective,the development efficiency of the provinces under study is far from satisfactory. The comprehensive efficiency index is low. In about two thirds of the studied provinces,the economic development is of poor efficiency. The environment has great impact on the economic development efficiency.With the environmental factors being eliminated,the comprehensive efficiency of all provinces is in significant decline. Of the three geographical regions,the east takes the lead in development efficiency,followed by the western region and with the central being the lowest. In general,however,the regional gap in economic development efficiency is narrowing gradually. From dynamic perspective,through the analysis of Malmquist Index model,the total factor efficiency and the M value of comprehensive technology efficiency are decreasing year by year,whereas the technological progress efficiency is increasing annually. Since the decrease of total factor efficiency is caused mainly by the decrease of technology efficiency,the different regions should try to bring their strengths into full play,quicken the steps of technological innovation,increase scale efficiency and enhance further the level of their economic development.