China's Industrial Total Factor Productivity Of Regional Differences

This paper makes Total Factor Productivity (TFP) to be the research object, taking the Chinese regional industrial development difference as the research starting point, using the stochastic frontier transcendental logarithmic production function analysis and a province-level panel data during the years 1978-2006, evaluates the Total Factorm Productivity growth rates of East, Middle, West regions since the reform and open policy and decomposes the growth of Total Factor Productivity into techonological progresses, technical efficiency, allocative efficiency and scale economy.Further, the Malquimst Index of Data Envelopment Analysis (DEA) has also been used to check the consistency of the TFP growth rate with transcendental logarithmic production function method and the results ensured the consistency in these two methods.In addition, convergence of industrial TFP between East, Middle, West regions of China and the present condition of the technological spillover was also observed in accordance with endogenous growth theory. Here, unit root tests of panel data and cross section time series data were used to test the convergence. We could observe the technological spillover movement from eastern region to western region and from central region to western region. Further, this spillover is unstable and the movement is comparatively slow.