Production and productivity growth in Chinese agriculture: new measurement and evidence

Abstract

This study uses a more appropriate approach to measure growth in output, input and total factor productivity for Chinese agriculture. Using newly estimated production and productivity growth indexes, the impact of rural reforms have been reassessed. The conventional approach would overestimate the impact of the rural reforms on both production and productivity growth. Nevertheless, both production and productivity still grew at respectable rates during the reform period. The study also found that in order to promote the long-term production and productivity growth which is much needed to feed the Chinese population in the future, it is imperative for the government to increase its investment in agriculture as the effects of recent institutional changes have been largely exhausted.