JaLCDOI 10.18926/OER/47076
FullText URL oer_043_2_029_044.pdf
Author Xuan, Chao| Nakamura, Ryohei|
Abstract This paper treats the empirical issue related to the urban productive efficiency. First, we construct a model incorporating urban inefficiency term and estimate a stochastic frontier production function at urban level. Next, we compare technical efficiency across Chinese cities during 1997-2007 by using estimated results. The urban technical inefficiency effect is found to be significant in many cities. Then, in the way of constructing the specification of the technical inefficiency in terms of various capital explanatory variables, we analyze the determinants of technical inefficiency of individual cities, and explore how the urban technical inefficiency is influenced by capital density, FDI, the domestic investment, while the impact of technical inefficiency on capital variables is investigated. From the empirical results, FDI is able to reduce effectively the technical inefficiency. Capital intensive industry would be the engine of economic growth in the future.
Keywords technical inefficiency urban productivity stochastic frontier approach chinese cities
Publication Title 岡山大学経済学会雑誌
Published Date 2011-09-26
Volume volume43
Issue issue2
Start Page 29
End Page 44
ISSN 0386-3069
Related Url http://www.e.okayama-u.ac.jp/gakkai/
language 英語
Copyright Holders Copyright © 2011 岡山大学経済学会
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