City Size Distribution, Export-Oriented Economies, and Regional Technical Efficiency: The Case of China

Chao Xuan and Xin Chen

Emerging Markets Finance and Trade, 2020, vol. 56, issue 7, 1474-1489

Abstract: This study examines two empirical considerations related to the distribution of cities of different sizes in China. First, the evolution of the distribution of Chinese cities of different sizes is examined across 22 provinces from 1995 to 2015. Second, the determinants of technical efficiency of individual regions within the size distribution are analyzed, as well as how regional growth is influenced by changes in human capital, regional city size distribution, foreign direct investment (FDI), and other factors. A panel data analysis is conducted to examine the potential determinants of the technical efficiency level in Chinese provinces for the period 1995 to 2015 and of regional technical efficiency. It is shown that a region’s urban concentration affects its effective economic growth; however, FDI should not be the engine of future economic growth.

Date: 2020
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DOI: 10.1080/1540496X.2019.1677462

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