Abstract
Based on e-commerce development index system of alibaba, this paper adopts DEA method and uses non parameter Malmquist index model to empirically analyze the TFP, corresponding technical progress rate and technical efficiency, with further analysis of the relationship between e-commerce and TFP, technical progress rate and technical efficiency of China’s service industry. The result is the development of technical efficiency is due to e-commerce eliminates the decrease of scale efficiency caused by the decrease of marginal output elasticity of factors like capital. That’s why the average growth rate of TFP of China’s service industry from 1997 to 2013 remains high level of 6.29%. Therefore, technical progress is the main power to promote the growth of TFP of China’s service industry.
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