Technical change, technical efficiency and multifactor productivity in
dices are reported for a multiple-output, multiple-input production te
chnology using Chinese provincial data for the 1979-95 period. Results
show significant variation in productivity change from Tear to gear a
nd province to province Using panel methods, we regress the three prod
uction indices on several factors important in explaining productivity
changes. Decollectivisation in the early 1980s accounts for a signifi
cant expansion of the frontier, while rural industrialisation decrease
d agricultural productivity. Productivity is also sensitive to relativ
e grain prices, to natural disasters such as flood and drought, and pr
oximity of the provinces to coastal areas.