JFRM  Vol.7 No.1 , March 2018
Measurement and Analysis of China’s Industrial Technical Efficiency
Abstract: This paper uses the stochastic frontier analysis to analyze the China’s technical efficiency on the basis of 280 cities from 1998 to 2015. The empirical results indicated that: the average technical efficiency of China’s industrial was increasing steadily in the past 18 years. The technical efficiency of east, middle and west regions are quite different: the east regions mean technical efficiency was higher than middle area about 27.3%, or higher than west area about 35.9%. In addition, the marketization process, R&D expenditure, education investment have a positive effect on the technical efficiency, but the FDI has a negative effect on eastern technical efficiency, which may due to the entry of FDI in eastern areas do not play a comparative advantage at the present stage.
Cite this paper: Li, B. (2018) Measurement and Analysis of China’s Industrial Technical Efficiency. Journal of Financial Risk Management, 7, 109-122. doi: 10.4236/jfrm.2018.71007.

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