Study on the relation between the productivity of producer services and economic development

This paper selected and calculated producer services inputs and outputs, indicators of Beijing according to total factor productivity theory and model. Thereby, Malmquist Productivity Index, Technical Efficiency Improvement (TE), technological progress (TH) were acquired, which reflected total factor productivity growth in all sectors of Beijing between 2003 to 2008. Finally, mechanism how producer services influences economic growth and improves its internal factors on the productivity was abstracted based on the analysis.