Technical,allocative and cost efficiencies of Chinese ports

This paper reports on empirical studies of the technical, allocative, and cost efficiencies (CEs) of Chinese ports based on the panel data of 16 listed port corporations from 1998 to 2011 by means of Bayesian Inference and Markov Chain Monte Carlo methods. An error terms approach is used to resolve the Greene Problem in the estimation of allocative efficiency. The results show that the technical efficiencies have tended to decline in most ports. Inputs to R&D and improving management level are insufficient to offset this decline. Seaports have higher CEs than river ports. Ports with higher container cargo proportion have higher CEs. Ports with more than 50% of shares owned by the State have higher CEs.