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Analyzing The Tfp Performance Of Chinese Industrial Enterprises

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  • KUI-WAI LI

    (Department of Economics and Finance, City University of Hong Kong, 83 Tatchee Avenue, Kowloon Tong, Kowloon, Hong Kong)

Abstract

After nearly four decades of rapid growth, the China economy is faced with various challenges. The 2008 crisis would have served as the last straw as China experienced falls and volatilities in industrial output, export and foreign direct investment. The new policy focuses on expansion of domestic consumption and rebalancing. Given the unreliability of Chinese products, there is a need to rebuild product acceptability and market confidence. The structure of industrial enterprises, especially the small- and medium-sized enterprises, will play a crucial role in the next phase of development in the China economy. This paper uses the data on Chinese industrial enterprises to estimate the productivity performance of enterprises across regions and industries. The discussion is placed on the impact of the 2008 financial crisis on the China economy and industries enterprises. By using a simple methodology and OLS regression analysis on the estimation of total factor productivity, the empirical results show that SMEs and non-SMEs do perform differently in different industries and across regions, but SMEs suffered more than non-SMEs since the 2008 crisis.

Suggested Citation

  • Kui-Wai Li, 2018. "Analyzing The Tfp Performance Of Chinese Industrial Enterprises," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 63(05), pages 1263-1284, December.
    • Handle: RePEc:wsi:serxxx:v:63:y:2018:i:05:n:s0217590816500077
    DOI: 10.1142/S0217590816500077
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    More about this item

    Keywords

    China regions; small- and medium-sized enterprises; total factor productivity; industrial enterprises;
    All these keywords.

    JEL classification:

    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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