Firm productivity and the variety of inputs and outputs: Evidence from Chinese trade data

• Main Authors: ONISHI, Ken, XU, Jianhuan, YANG, Guang
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2020
• Subjects: Production function estimation; TFP; trade; China; Asian Studies; Industrial Organization
• Online Access: https://ink.library.smu.edu.sg/soe_research/2516; https://ink.library.smu.edu.sg/context/soe_research/article/3515/viewcontent/Productionfunctionest.pdf
• Institution: Singapore Management University

This paper studies how the trade liberalization in China changes the firm productivity. We develop a framework to estimate revenue productivity (TFPR) and real productivity (TFPQ) with multi-product firms. We find that the aggregate TFPR increases 30\% from 2002-2007 and TFPQ increases 22\%, suggest...