Total Factor Productivity Growth of Chinese High-Tech Industry Based on a Industry-Level DEA Approach

This paper presents a timely assessment of Chinese high-tech industrial productivity performances over the period 2001 to 2007. A methodology developed by FARE et al. (1994), and derived from the Data Envelopment Analysis (DEA) approach, allows for the estimation of TFP growth rates and its components, technical efficiency, technical change, and scale changes. In this study, we use an industry-level panel data to apply this methodology to compute TFP growth rates for 15 Chinese high-tech Industries. Our major findings are: TFP growth is most heavily influences for scale efficiency when TPF is in negative growth, and when presenting positive growth, the contribution of the technological progress is relatively great.