Ownership and efficiency differentials in chinese industry: further evidence from data envelopment analysis

Abstract

The objective of our study is to analyse the difference in economic efficiency between the state and collective sectors of Chinese industry, with the help of a data set containing firm-level data of 7273 enterprises across 35 industrial branches in Hubei Province in 1990. Data envelopment analysis which evaluates the enterprises' performance in terms of both output and profit is applied as an alternative to the conventional TFP approach.