Abstract

The manufacturing sector is the foundation of a nation’s industrial structure, and its productivity is closely related to the quality of economic development. The paper uses DEA (Data Envelopment Analysis) models to measure Manufacturing TFP (Total Factor Productivity) and the factors affecting its growth in Shanghai since 1996, and compares Shanghai’s TFP growth with other major manufacturing provinces in China. The results show that Shanghai has no significant advantages over other provinces under the combined action of the internal and external factors. Turning to the development mode driven by the “two-wheel” of both technological progress and technical efficiency is an important way to increase the productivity of manufacturing sector in Shanghai.

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