Template-Type: ReDIF-Paper 1.0
Author-Name: Michael Magill
Author-Name-First: Michael
Author-Name-Last: Magill
Author-Name: Wing Thye Woo
Author-Name-First: Wing Thye
Author-Name-Last: Woo
Author-Name: Julian R. Betts
Author-Name-First: Julian R.
Author-Name-Last: Betts
Author-Workplace-Name: Department of Economics, University of California Davis
Title: Chinese Economic Growth: Sources and Prospects
Abstract: China's impressive growth is rooted in the liberalization of a surplus labor economy that has a high saving rate. The reallocation of surplus agriculture labor to industry and service sectors generates a growth effect that shows up in total factor productivity (TFP) growth. Net TFP, the resulting residual, contains the true measure of technological progress (among other effects).
 Taking account of mismeasurement problems, especially of value added in the industry sector, I calculated a plausible range of estimates for each source of growth. My point estimates for each of their contribution to the average annual 9.3 percent growth rate in the 1979-93 period growth rate in the 1985-93 subperiod are, respectively: 1979-93 1985-93 4.9 5.5 percentage points from capital accumulation 1.3 1.1 percentage points from labor force expansion. 1.1 1.3 percentage points from reallocation of labor from agriculture 0.2 0.3 percentage points from inconsistent use of base prices, 0.5Ã?0.7 0.9Ã?1.2 percentage points from overstatement of industrial growth, 1.1-1.3 0.3Ã?0.6 percentage points from net TFP growth.
Length: 0
File-URL: https://repec.dss.ucdavis.edu/files/584s2tbnCMeWbWnRiYiyJqpp/96-8.pdf
File-Format: application/pdf
Number: 173
Classification-JEL: 
KeyWords: 
Creation-Date: 20030107
Handle: RePEc:cda:wpaper:173