Skip to content

Seminar

Bottom-up Institutional Change and Growth: Theory and Evidence from China

Macroeconomics Seminar

Add to calendar 2024-03-27 11:00 2024-03-27 12:15 Europe/Rome Bottom-up Institutional Change and Growth: Theory and Evidence from China Seminar Room 3rd Floor Villa La Fonte YYYY-MM-DD
Print

When

27 March 2024

11:00 - 12:15 CET

Where

Seminar Room 3rd Floor

Villa La Fonte

Xiaodong Zhu (Hong Kong Business School) will present the paper 'Bottom-up Institutional Change and Growth: Theory and Evidence from China'.

We build a large textual database that covers all local government activities at county level across China for the period of 1976 to 2005, and use a textual analysis method to identify and measure local policy changes and their diffusion across space in China. We show that bottom-up policy innovations tend to increase GDP growth through improvement in TFP, while central government sponsored policy experiments tend to increase GDP growth through capital accumulation. We also develop a quantitative model that is consistent with the empirical facts and use it to quantify the contribution of bottom-up institutional change to TFP growth in China.

Co-Authors: Heng Chen, Bingjing Li 

Speaker(s):

Xiaodong Zhu (Hong Kong Business School)

Go back to top of the page