LUO Dangchen1, XIA Yu1, LIU Xinghua2
(1 School of International Business, Shaanxi Normal University, Xi’an 710062, Shaanxi;2 College of Information, China University of Science and Technology, Hefei 230026, Anhui)
Abstract:
It is found by simultaneously introducing the labourincreasing and the capitalincreasing technical progress into Solow Model that the labour income quotas are determined by four elements: the growth rate of national economy, that of educational expenditure, that of scientific and technological investment and that of fixed capital investment. The quotas of labour income in eastern China are positively correlated with the increase rate of scientific and technological investment and that of educational investment in that part of China. In contrast, since western China is backward in the level of economic growth, the rate of capital and educational investment cannot cause a prominent increase in labour income quotas.
KeyWords:
labour income quotas; labourincreasing technical progress; capitalincreasing technical progress; regional economy development