Technical Efficiency and Its Determinants in Chinese Manufacturing Sector

Abstract

This paper examines technical efficiency and its determinants in Chinese manufacturing industries using survey data at the sector level. A stochastic frontier approach is applied to estimate technical efficiency rates for individual sectors. In particular, the empirical analysis focuses on regional comparisons of manufacturing performance and the determinants of technical efficiency among the sectors. The findings are used to draw policy implications for regional economic development.Frontier approach, technical efficiency, manufacturing, determinants