Publication Type

Journal Article

Version

acceptedVersion

Publication Date

2-2007

Abstract

We study the application of the Solow growth model in China's non-governmental businesses and propose a reasonable modification for it. Our analysis indicates that business experience is closely tied to the output of China's non-governmental businesses. Our major findings include: (1) the business experience has little overall impact on the elasticity of output with respect to labour; (2) the business experience has a large impact on the elasticity of output with respect to capital and the elasticity increases as the business experience increases; (3) the adjusted Solow residual that reflects technological progress exhibits a negative relationship with the business experience, indicating that a newly established business tends to have higher technology content than others.

Keywords

business cycle, capital, economic analysis, economic growth, labor, technological development, China

Discipline

Asian Studies | Economics | Growth and Development | International Business

Research Areas

Econometrics

Publication

Applied Economics Letters

Volume

14

Issue

3

First Page

227

Last Page

231

ISSN

1350-4851

Identifier

10.1080/13504850500426210

Publisher

Taylor & Francis (Routledge): SSH Titles

Additional URL

https://doi.org/10.1080/13504850500426210

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