Preprint Article Version 1 This version is not peer-reviewed

Total Factor Energy Efficiency of China’s Industrial Sector: A Stochastic Frontier Analysis

Version 1 : Received: 12 April 2017 / Approved: 13 April 2017 / Online: 13 April 2017 (04:35:55 CEST)

A peer-reviewed article of this Preprint also exists.

Shen, X.; Lin, B. Total Factor Energy Efficiency of China’s Industrial Sector: A Stochastic Frontier Analysis. Sustainability 2017, 9, 646. Shen, X.; Lin, B. Total Factor Energy Efficiency of China’s Industrial Sector: A Stochastic Frontier Analysis. Sustainability 2017, 9, 646.

Journal reference: Sustainability 2017, 9, 646
DOI: 10.3390/su9040646

Abstract

Based on stochastic frontier analysis and translog input distance function, this paper examines the total factor energy efficiency of China’s industry using input-output data of 30 sub-industries from 2002 to 2014, and decomposes the changes in estimated total factor energy efficiency into the effects of technical change, technical efficiency change, scale efficiency change and input-mix effect. The results show that during this period the total factor energy efficiency in China’s industry grows annually at a rate of 3.63%, technical change, technical efficiency change and input-mix effect contribute positively to the change in total factor energy efficiency, while scale efficiency change contributes negatively to it.

Subject Areas

malmquist productivity index; total factor energy efficiency; stochastic input distance function; China’s industry

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