Abstract:Using the stochastic frontier production function analysis and a firm-level panel data collected by the National Bureau of Statistics of China, this paper examines the total factor productivity growth of Chinas large and medium-sized industrial enterprises sector during 1995—2002. The major findings include: 1 The weighted average of the annual growth of TFP in Chinas large and medium industrial enterprises sector was as high as 6.8% with a rising trend during 1996—2002; 2 The contribution to TFP growth by Frontier Technology Progress reached as much as 14 percentage points a year on average; 3 The decline in Technical Efficiency Relative to the Frontier reduced the growth of TFP by 7.1 percentage points a year on average; 4 Allocative Efficiency contributed on average only 0.02 percentage points a year to the growth of TFP and Scale Dis-Economy slowed the growth of TFP by 0.33 percentage points a year. The results show that at the turn of the century, the most important part of Chinas industry was in the middle of an industrial productivity revolution driven by both frontier technological progress and the great potential of catching up in technical efficiency by the lagging enterprises. The revolution is driven by increased competition, privatization, foreign investment, and business expansion.

Abstract:Using data from 1992—2002 of twenty banks from the list of Forbes 500, we study the main features of compensation for top bank executives including the chairs of the board of directors and the CEOs of these banks. The study reveals certain patterns of the compensation of these executives in terms of their structure, and variations over time and across ranks. We also discuss the causes of these patterns and the extent to which the practices of US banks may or may not be applicable to Chinese banks.

Abstract:This paper we calculate the output volatilities and test the reasons which cause the decline in growth volatility. We find the evidences that there is a close relationship between output volatility and nominal volatilities such as price and money supply fluctuations. The volatilities in investment, government spending and net export are the procyclical components in the growth volatility, and the aggregate consumption is still stable during the business cycle. These mean that macroeconomic control should mainly rely on the demand management in the short run, and should turn to supply management, which depends on market mechanism in the long run. The macroeconomic control should tend to stimulus the variability in nominal and real economies, in order to sustain the fast and stable growth.

Abstract:The investors mood fluctuations can help understand the volatility of asset prices, but the description for mood fluctuations is simple. Based on the research of Mehra and Sah 2002, this paper proposes a new mood fluctuations model in which the mood fluctuations are modeled as the fluctuations in the discount factor, risk-aversion coefficient, and the elasticity of intertemporal substitution. This paper revisits the following question: can small fluctuations in investors subjective preferences, that is, mood fluctuations, induce large fluctuations in asset prices The results show that the investors mood fluctuations have larger effect on equity prices than on bond prices. These results can help us understand the excess volatility of equity prices and the smoothness of bond prices.

Abstract:China currently has two types of employment statistics. One is part of the national population census that is conducted every ten years, and the other is constructed using three types of annual employment statistics collected through urban statistical reporting system, rural employment surveys and the business registration system of the State Administration of Industry and Commerce, that is, the so-called “three-in-one” employment statistics. The two statistics are different not only in terms of total numbers employed and industrial structures for any given period, but also in terms of changes of employment over time. This paper investigates important differences between the two statistics in statistical coverage and survey methodology and their likely consequences in economic analysis using these statistics.

Abstract:Currently, main financing model of pension and health insurance in China is funding system. According to some literatures, the reason why to adopt funding system in China is the press of population aging, and the system of PAYG cant cope with the phenomenon of population aging. This paper constructs a model to analyze the relationship between PAYG system and population aging, and give some quantifying conditions to confirm whether population aging can result in a payment crisis under PAYG system. Then, we forecast the process of population aging in China from 2001 to 2060, which proves the relationship between population aging and PAYG system in China. This model also gives principles to define the rate of contribution and the rate of growth in average pension.

Abstract:This paper examines whether Foreign Direct Investment FDI brings managerial knowledge spillover in China. Based on a survey data set of Chinas emerging private sector, we compare firm performance, internal organization and some managerial practices between firms of two distinct types: those whose entrepreneurs have working experience in FDI firms and those not. We find there is no statistically significant evidence that entrepreneurs experience in FDI companies lead to improvement in any of these dimensions. Considering the importance of managerial knowledge for economic development, we suggest host country of FDI take account of the transfer of managerial knowledge when designing government policies on FDI.

Abstract:Using cointegration, ECM, Granger causality and other time-series analysis methods, We examine in this paper the dynamic relationship among the stock price index, real GDP and CPI in some developed country and developing country or region, we also investigate the dynamic relationship between Shanghai Stock Exchange Comprehensive Index and the real GDP in China. The empirical results show that when the stock market of one country develops to a certain level, remarkable relationships of multi-cointegration and bi-directional Granger causality exist between stock price index and the real economy, and that there exist relationships of double cointegration and single-directional Granger causality between SSECI and real economy in China. Finally, after the wealth effect of stock market changes on consumption and the investment effect of stock market has been examined, we put forward feasibly the policy suggestion that Chinas monetary policy should properly respond to the change of stock price and should respond now.

Abstract:In this article combining with scale economy and network externalities of PC markets,and considering the different business models of PC firms, authors construct patulous hotelling models, study the determining factors and formative mechanism of PC market structure, and analyze different business models of PC firms: in the scale-economy-obvious and network-externalities-strong PC markets there always is duopoly, compared with that of the traditional industry, the forerunners of PC markets possess the greater cost advantage and the network externality advantage, the subsequent firms not only have to enhance traditional competitive means, for example, price competition, product differentiated competition etc, but also have to adopt different business models to compete with the forerunners; in the scale-economy-unobvious and network-externalities-weak PC markets monopolistic competition of several firms often come into being. According as the different comparative advantages,the firms in duopoly cooperate or compete with the firms in monopolistic competition.

Abstract:Based on accounting theories and theories of the firm, we study the special treatment policy ST on Chinese stock market. We propose a simple econometric model, which can reflect both a firms earnings-generating ability and the earnings volatility. Based on our model, we find that whether a firm will suffer loss is not directly related to the firms long-term earning ability. Instead, it is decided by an index, earning stability index, which combines the firms earnings-generating ability and earning volatility. Based on the data of U.S. stock market from 1975—2003, we find a rather substantial proportion of the U.S. firms with good long-term earnings ability tend to have very low earning stability and a non-trivial probability to suffer consecutive losses. Based on the theoretical and empirical analysis, a short discussion is provided for ST policys past experience, current status, possible future developments.

Abstract:This paper investigate statistic characteristic and their relationships of the stock returns and NAV returns net asset value return of Closed-end Fund in China .We get the main results by empirical research as follow:1The stock returns of closed-end fund in China have not only more excess volatility than their NAV returns, but also the stock returns under-react to NAV returns.2By empirical tests ,we find the Investors Sentiment Risk can explain well the excess volatility of the stock returns of closed-end fund in China, but Fama three factorsi.e. Market Return Risk, Small Capitalization Return Risk, Book-to-Market Return Risk have no effect on the excess volatility of the stock returns of closed-end fund. 3The excess volatility of the stock returns of closed-end fund can be considered as a kind of extro-risk over its underlying portfolio for investors behavior,so the discount trading of closed-end fund is a kind of risk compensation for this excess volatility.

Abstract:Though there has been a rapid growth in Chinas securities investment funds, it is still backward and slow in the development of both method and mechanism of evaluation on the performance of Chinas securities investment funds. Such serious problem in fund evaluation has an influence on the investors in their investment of funds, which adversely affects the further growth of funds. Therefore, it is of vital and realistic significance to establish an effective and applicable system of evaluation on the performance of securities investment funds. With the method of main component statistic analysis, this paper combines the relatively mature international methods of evaluation on the performance of securities investment funds, in an attempt to get a composite index to measure the performance of funds in order to comprehensively evaluate and sequence various funds. It overcomes the limitations and shortcomings from unitary method previously adopted, and it renders reference not only to the future establishment and further improvement of the system of evaluation on the performance of Chinas securities investment funds but also to the growth of funds.