Abstract

State-owned forestry enterprises are important elements of the forestry economy in China. The operational efficiency of such enterprises depends on technological progress and other input factors. Total factor productivity (TFP) is an important means to evaluate the efficiency of technical elements. The growth of production efficiency can be classified into efficiency variation and technical variation. The TFP of 135 key state-owned forestry enterprises in the northeast, southwest, and northwest regions of China in 2001–2011 was measured through Malmquist–data envelopment analysis. The technological progress of the state-owned forestry enterprises positively affected TFP variation, but technical efficiency only slightly increased and scale efficiency even negatively affected TFP variation. The average growth rate of TFP in the northwest region is higher than those in the northeast and southwest regions. The Western Development Program of China increasingly contributes to the economic development of western areas. The increasing investment of the government in science and technology accelerates the development of forestry economy in China.

Highlights

  • Chinese state-owned forestry enterprises are important organizations that integrate economic, ecological, and social functions

  • Key state-owned forestry enterprises have become an important part of the Chinese forestry economy

  • This study just chose three representative input factors. These factors are partly included in total costs factor, so that they need not be selected as input factors individually

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Summary

Introduction

Chinese state-owned forestry enterprises are important organizations that integrate economic, ecological, and social functions. In 2011, the output of Chinese fully state-owned forestry enterprises was US $8.7 billion, 97% of which (US $8.4 billion) was contributed by 135 key forestry enterprises (wood processing enterprises) [1]. Key state-owned forestry enterprises have become an important part of the Chinese forestry economy. The Natural Forest Protection Project (NFPP) of China has strengthened forest tending and has limited timber harvesting. The domestic supply of timber raw materials decreased, and the mode of the industrial economic development of key state-owned forestry enterprises needed transformation [2]. Because China has entered into the period of its 12th Five-Year

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