Total Factor Productivity of Urban Real Estate Industry in China: Regional Differences and Dynamic Evolution

Improving the total factor productivity (TFP) is critical to the high-quality development of the real estate industry. To apply the TFP to explore the development path and regional differences of China’s real estate industry, this research develops Global Malmquist-Luenberger index model (GML) to assess the regional differences of TFP in the urban real estate industry. Dagum gini coefficient and kernel density estimation are used to analyze the spatio-temporal characteristics and dynamic evolution in China’s 35 cities covering the period of 2011–2020. The results show that the TFP in China’s real estate industry has presented cyclical growth, whereas the regional difference of the TFP has wavily declined. Besides, there is an obvious spatial imbalance in China’s real estate industry. The polarization exists between the eastern and central regions, and the spatial difference has a tendency to narrow in the western region. Based on the findings, this research proposes several policy implications for policymakers regulating the real estate industry. This research measures the TFP of China’s real estate industry in different cities and periods and investigates the resources of regional disparities. The findings of the research can provide important insights on the promotion of the development of China’s real estate industry, thereby enhancing regional economies.