Evaluation And Determinants Analysis Of Total Factor Productivity For30China’s Major Cities

In the context of globalization, the role of the state has been diluted,while cities are increasingly becoming the focus of regional economiccompetition. Many large cities have even been directly involved in theglobal division of labor.Based on this understanding, the author selected Malmquistefficiency index from data envelopment analysis as a computing model,measuring the efficiency of different cities by distance function. Amongthem, the city’s total factor productivity change index (TFPCH) can bedecomposed into efficiency change index (EFCH) and technical changeindex (TECH) in order to examine that whether the total factorproductivity change is achieved by efficiency change or technologicalchange. Through data collection and processing, we got the MalmquistIndex (total factor productivity index) and its decomposition factors(technical progress index and technical efficiency index) of30majorcities across two time periods (from1990to2000and from2000to2010).Through analysis, we found that part of these cities mainly rely ontechnological progress to promote the upgrading of total factorproductivity. This kind of improvement is usually brought by therelatively high foreign capital utilization that motivate the movement ofproduction frontier; while some cities improve their total factorproductivity through technology efficiency enhancement (such as freecompetition market, national or regional economic policies, etc.). Thephenomenon show that the in different time stages different regions oftenshows different mechanisms to develop. Next, the article further verified the influencing factors fortechnological progress index and efficiency progress index.Finally, in this paper, we put forward suggestions and guidance forcities in different development path, in order to provide effectivetheoretical support of regional development and upgrade for30majorcities.