How does digital technology affect total factor productivity in manufacturing industries? Empirical evidence from China

Shihong Zeng, Hongru Sha and Yongyi Xiao

Economic Research-Ekonomska Istraživanja, 2023, vol. 36, issue 1, 2167221

Abstract: Extensive studies have discussed the relationship between digital technology and total factor productivity (T.F.P.) in manufacturing industries, but far less attention is paid to the nonlinear relationship. Based on the panel data of China’s manufacturing industries and matching data of National Intellectual Property Public Service Network from 2000 to 2019, this article aims to explore how digital technology affects T.F.P. in manufacturing industries. The result demonstrates that a significant inverted U-shaped relationship is between digital technology and T.F.P. The threshold in high technology manufacturing industries is larger than that in low and middle technology manufacturing industries. With the progress of digital technology, the expenditure of technology and equipment upgrading is increasing. However, the marginal return of technology and equipment is decreasing, besides technology innovation. The case of China perhaps provides new insights into manufacturing industries in developing country to gain sustainable development.

Date: 2023
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://hdl.handle.net/10.1080/1331677X.2023.2167221 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:reroxx:v:36:y:2023:i:1:p:2167221

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/rero20

DOI: 10.1080/1331677X.2023.2167221

Access Statistics for this article

Economic Research-Ekonomska Istraživanja is currently edited by Marinko Skare

More articles in Economic Research-Ekonomska Istraživanja from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().