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Productivity growth and structural change in China (1995–2009): A subsystems analysis

Gabriel Brondino

Structural Change and Economic Dynamics, 2019, vol. 49, issue C, 183-191

Abstract: This paper provides an analysis of productivity growth and structural change of the Chinese economy for the period 1995–2009 based on the Subsystems approach. The approach allows a disaggregated analysis without losing sight of sectoral inter-dependences. We observe, in a clearer way, the transition in China from the development phase based on agriculture and ‘light’ industry to the phase based on ‘heavy’ industry and technology-intensive industry and services. We find that best performing subsystems where targeted by industrial policy for promotion. Although there is not a clear pattern, the main source of productivity growth across subsystems was direct labor savings.

Keywords: Total labor productivity; Structural economic dynamics; Input-output; China (search for similar items in EconPapers)
JEL-codes: E01 C67 O41 (search for similar items in EconPapers)
Date: 2019
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