Study On The Total Factor Productivity Of Forestry In Heilongjiang Province

Economic growth has always been an important field in the study of economics. According to the neoclassical economics theory, the economic growth derives from the growth of input and increase of total factor productivity(TFP). Currently, the development of Heilongjiang provincial forestry is faced with the sharp drop in forest resources, environmental degradation, lack of forestry economic growth momentum and many other issues. The extensive mode relied on investment growth factor to stimulate economic growth is unsustainable under diminishing returns and resource constraints of joint action. In this case, study on TFP of Heilongjiang provincial forestry and searching for the way to improve it is a key for breakthrough the current bottleneck in the development and promotion of sustainable healthy growth in Heilongjiang provincial forestry economic.Heilongjiang forestry development is inseparable from the policy guidance and constraints, and the national forestry policy is embodied as a decision maker preferences for forestry development and planning. The preference of decision maker for forestry development is very important in Heilongjiang provincial forestry. Meanwhile forestry as set economic and ecological benefits in a comprehensive industry, the resources invested makes economic output, it also brings considerable ecological output. Consider of the impact of ecological output and preference of decision maker, this paper applies Malmquist index method based on directional distance function to measure the TFP of Heilongjiang provincial forestry taking ecological output and decision maker preference into account. This paper makes further research by decomposing TFP into technology level, pure technical efficiency and scale efficiency three parts for specific analysis. Result shows that:TFP has been declined from 2000 to 2012. Result from the decomposition of TFP shows that low technology level and technology recession are main factors of TFP decline. The pure technical efficiency and scale efficiency overall increase. They are the main driving force of TFP increase, but still hard to offset the negative effect from technology recession. On the other hand, capital investment shows a negative correlation with TFP, which has little effect on the improvement of TFP. Therefore, advising that encourage technology innovation of enterprises, reinforce the investment in technology project, promote the transformation and upgrading of forestry enterprises.