We calculate the relevant indexes of TFP of the 16 cities in Yangtze River Delta over the period 1997–2010 by DEA-Malmquist. The results present that the TFP of the Yangtze River Delta is growing as a whole, mainly promoted by the growth of its technological progress. Then, using the nonlinear EGLS method, we have an empirical test on the technological diffusion and spatial limitation among Yangtze River Delta in geographic space. We find a spatial diffusion mechanism from Shanghai, Nanjing and Hangzhou to the other 13 cities.
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