Abstrat:There have been hot discussions on Chinas pattern of economic development after the debate about the East Asian Miracle following Krugmans paper on this issue. This paper examines the debate and its development both in English and Chinese literature. The paper, based on the survey of total factor productivity methodology as well as the historical experiences of other countries economic development, shows the flaws in Krugmans arguments and argues that the view held by Krugman is harmful to the economic development in the less development countries in general and in China in particular. Several implications for Chinas economic development from the revisit are proposed at the end of the paper.

Abstrat:The issue of industry reversally feeding agriculture will not be raised until agriculture has stopped feeding non-agriculture. The asymmetry between feeding and reversal feeding will result in the widening gap between city and countryside. Reversal feeding agriculture and country mainly covers two aspects, namely the income and factors of reversal feeding. During the initial stage of reversal feeding agriculture and country, the industry plays the dominant role, while the all-round stage of reversal feeding agriculture and country calls for citys leading role. After industrialization and urbanization have reached a certain stage, industry and city reversal feeding agriculture and country will break through the scope of villages and towns, and the implementation center is supposed to switch to the county government. The main paths the government adopts are to expand public finances coverage in countryside and to increase the supply of rural public goods.

Abstrat:This paper explores the basic concept of GDP measure and its limitations in a historical perspective. Particularly, it shows how the governments decades-old counting system misses the growing portion of GDP-intangible investment, and fails to capture the emerging knowledge-based economy. The paper has reassessed the Chinese economy, its position and impact in this dramatically evolving global economy. The main arguments of the paper are: the current GDP measures do not include the non-market economic activities, underground economy, and leisure time; underestimate the value and growth potential in service sector; have no way of tracking the billions of dollars companies spend each year on innovation and product design, brand building, employee training, or any of the other intangible investments; miss the rapidly increasing knowledge component, especially the education investment in the Chinese economy. The paper concludes that, due to historical, cultural, and institutional factors, these omissions and underestimates in China are much bigger than those of industrial countries and the other developing countries, therefore, the actual Chinese economy and its growth rate, especially its growth potential are much larger than the official statistics.

Abstrat:In the world economic development, the energy issue has been risen for the strategic hot topic of countries. The research to the relationship between the economical growth and the energy consumption in academic circles continuously took the linear supposition as the premise, by no means to this supposition whether strictly carried on the econometric test reasonably up to now. This article takes the lead to study the intrinsic structure relations between the economical growth and the energy consumption which are profound and complex in China,employed the non-linear STR models which have been developed in recent years. We obtained the following main conclusions: 1 The influence of Chinese economic growth on the energy consumption has the typical non-linear characteristic, and, may express through the LSTR2 model. 2 The influence of Chinese economic growth on the energy consumption has the asymmetry. When the GDP growth appears drops absolutely, the energy consumption compared to GDP has the quicker rate of descent; When the GDP rate of increment does not surpass 18.04%, the influence will have the relative stability, and the elasticity of the energy consumption to the economic growth is 0.9592; When the GDP rate of increment surpasses 18.04%, the energy consumption compared to GDP will have the quicker rate of rise, thus, the economic growth will completely take the high energy consumption as the cost. Therefore, we should avoid the economic negative growth and the super-velocity growth as far as possible. 3 The influence of Chinese economic growth on the energy consumption has the obvious gradual characteristic. During 1956—1976 year, it presented the obvious non-linear characteristic; but during 1977—2005 year, it presented the obvious linear characteristic.

Abstrat:In this paper we analyze household income mobility dynamics in rural China between 1986 and 2001. Four important findings are obtained: 1 Among all households, income mobility increased initially, and then kept stable. This means that dynamic inequality is significantly smaller than static inequality. After 1995, annual income inequality is larger than before but the opposite is true for permanent income inequality. 2 Compared to the urban area, income mobility in the rural area was higher during 1991—2001. 3 Mobility in richer provinces was higher between 1986 and 1990, but the difference became inconspicuous between 1995 and 2001. 4 Using multivariate analysis, we find that household income converges after other factors are controlled, while income growth depends on the change in the levels of education and chance of migrant jobs.

Abstrat:This paper establishes a model of human capital accumulation and analyzes the effects of the family security mechanisms driven by traditional Chinese cultural belief and social pension security systems on households provision for the aged and human capital investment behavior and in turn on economic growth. Our analyses suggest that: 1 the traditional cultural belief connects effectively the offspring human capital accumulation with parental pension security, which provides a good system of family provision for the aged and endogenous human capital accumulation; 2 the pay-as-you-go PAYG social security systems have adverse impacts on human capital accumulation and economic growth. In addition, the empirical study based on the relevant data of China indicates that the current social pension security systems exert significant adverse effects on the economic growth, while the family security mechanisms have positive effects on human capital accumulation and economic growth. Therefore, the effects of households provision for the aged should not be underestimated whilst the social pension security system is being constructed.

Abstrat:Based on the household income data, this paper re-estimates the rate of returns to schooling by Hierarchical Linear Model. It is found that a the rate varies much across the regions either in 1995 or 2002 and the variations come almost solely from between-cities within provinces instead of between-provinces as studied early by OLS method; b the degree of the marketlization of labor allocation has a positive effect on the rate of returns to schooling and the variations of the rate across the regions are due to the variations of the degree of marketlization of labor allocation across the regions.

Abstrat:Based on the idea of Schumpeters entrepreneurship, this paper introduces allocation of entrepreneurial activities into endogenous technological innovation models. This paper points out the allocation of entrepreneurial activities determines the cross-country difference in R&D input level, technological level and growth rates. In this paper, the reward structure of different economic activities determines the allocation of entrepreneurial activities, and the reward structure is endogenous and history-dependent. Therefore, in order to increase R&D input level, technological level and growth rate, we must provide incentive for more productive innovative activities through political, economic, legal and cultural institutional arrangement, so that the economy can break the trap of low-income equilibrium and move to a developed equilibrium. This paper has two contributions: one is introduce the allocation of entrepreneurial activities into endogenous growth model, provides an explanation for the cross-country difference in R&D input level, technological level and growth rates. The other focuses the effect of the allocation of entrepreneurial activities on innovative activities, and examines the dynamic relation among the allocation of entrepreneurial activities, relative reward structure and technological innovation level. This paper has important policy implication for the National Strategies of Autonomous Innovation.

Abstrat:Does inertia affect individual investment participation choice If so, where does the participation inertia come from Based on an individual investor survey in 9 cities in China in 2006, I find that there is significant inertia to maintain those corresponding decisions in individual investors current and future expected participation in saving, foreign exchange, stock, bond, futures, mutual fund, lending, business, insurance, collection, real estate, wealth-managing product, and lottery, behind which is a behavior bias caused by endowment effects or a tendency to procrastinate in decision making, but not a rational choice. The policy implications of current study is: improving investor education and making people realize their participation inertia in investment and hence overcome this inertia actively, should be taken into consideration by the government to improve investor welfare.

Abstrat:Based on agency theory of the firm, and the special institutional settings that there exists the regulation on executive compensation in Chinese SOEs, this paper analyses the impact of executive compensation on over-investment and under-investment. Subsequently, Using the data on Chinas listed companies data from 2000 to 2004, we investigate governance effect of executive compensation on capital investment decision. We find that, on the condition of executive diligence and talent not being compensated, there are more evidence shows that government control especially SOELG control and SAMB control has induced over-investment.

Abstrat:Using gravity model of bilateral trade, this paper constructs instruments variables to deal with the endogenous factors of international trade. The empirical results show that international trade has a significant positive effect on labor productivity in Chinese provinces. The channels are total factor productivity and human capital other than physical capital though which international trade affects labor productivity. Moreover, the effects of international trade on composition of human capital are different.

Abstrat:In this paper, we found the real estate prices in different regions have the same trend, but their growth rates are different through comparing typical provinces real estate price. According to the economic developing situation, we divided 28 provinces into three regions——eastern, middle and western. We dynamically analyzed the factors, which determined real estate price fluctuation, based on error correction model and panel data model. In these models, we considered the impact of monetary policy on house price specially. The conclusions are as follows: firstly, to the long-term trend and short-term fluctuation of house piece, the effects of credit policy in eastern region and western region are stronger, and middle regions is weaker. So we think the credit policy is effective to control eastern and western regions house price. Secondly, the effects of interest rate policy have no distinct difference in all regions. Thirdly, in middle region, the development of real estate market is more dependent on its economic conditions. Fourthly, anticipating variable of real estate prices only has a remarkable effect in eastern region.

Abstrat:Earnings management is an important issue in the field of accounting, finance and even economics since it is closely related with investor protection and accounting standard setting. Estimation of the extent of earnings management is the precondition of studying the economic consequences of earnings management. This paper reviews the extant theoretical and empirical studies on the estimation of the extent of earnings management and provides direction for future research. Relevant literature suggests that abnormal accrual estimation can detect the earnings management for some specific firms, but it cannot estimate the frequency and magnitude of earnings management for all the firms. Earnings distribution model is the core method that can estimate the extent of earnings management with real economic consequences, but assumes that the true earnings distribution is smooth. The future direction is to isolate the effect of some other factors on the discontinuity of earnings distribution, such as the choice of earnings measures and deflation methods. The interaction of different thresholds and relaxation of assumptions should also be taken into account in the future research.