The study looked at how productivity in Chinese manufacturing has changed over time. They found that the industry's overall productivity has been growing by 8.8% each year, mainly due to technological advancements. However, the efficiency of using these technologies has only improved by 1.4% annually. State-owned or monopoly industries are making more technological progress but are less efficient, while competitive industries are more efficient but lag in technological advancements. The level of competition and technical requirements in an industry affect how well it progresses technologically.