THE ROLE OF MARKETIZATION ON THE LINKAGE BETWEEN MISALLOCATION AND PRODUCTIVITY DISPERSION: EVIDENCE FROM CHINA

Yuan An (), Kebin Deng (), Zhong Ding and Fox Gao ()
Additional contact information
Yuan An: School of Economics and Trade, Guangdong University of Foreign Studies, Guangzhou, P. R. China
Kebin Deng: School of Economics and Commerce, South China University of Technology, Guangzhou, P. R. China
Zhong Ding: School of Accounting, Guangdong University of Foreign Studies, Guangzhou, P. R. China
Fox Gao: School of Business, The University of Queensland, Australia

The Singapore Economic Review (SER), 2023, vol. 68, issue 03, 761-795

Abstract: This paper enriches the misallocation literature by identifying the role of marketization based on China’s manufacturing database. We find that when the effect of misallocation on TFP dispersion is larger than that of market competition, the TFP dispersion of private enterprises tends to increase, misallocation decreases and market competition increases. However, as the dispersion of state-owned enterprises in China decreases, misallocation and market competition both increase.

Keywords: Misallocation; productivity dispersion; market competition; total factor productivity (TFP) (search for similar items in EconPapers)
JEL-codes: D24 D52 L11 (search for similar items in EconPapers)
Date: 2023
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.worldscientific.com/doi/abs/10.1142/S0217590819500292
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:wsi:serxxx:v:68:y:2023:i:03:n:s0217590819500292

Ordering information: This journal article can be ordered from

DOI: 10.1142/S0217590819500292

Access Statistics for this article

The Singapore Economic Review (SER) is currently edited by Euston Quah

More articles in The Singapore Economic Review (SER) from World Scientific Publishing Co. Pte. Ltd.
Bibliographic data for series maintained by Tai Tone Lim ().