Research On The Flow Asymmetry Of Capital And Labor Force

This paper discusses the flow asymmetry issues of capital and labor. Capital and labor both are factors of production, their relations occupies an important position in the economic category, and the relationship itself with extremely rich connotation, this article focuses on the flow of capital and labor of this dimension, tried to analyze the reasons, mechanism and effect of capital and labor flow asymmetry. In today’s highly developed business, the flow of capital and labor has become a kind of like windy rain phenomenon, people familiar with the almost forgotten but as often it is not know, about the flow of capital and Labour there are many worthy of careful study. Though, capital and labor in the flow, but in fact, the first, the flow of capital and labor are not completely; Second, crucially, capital flows and the degree of incomplete labor mobility is different also, in general capital flows faster and cheaper. Two kinds of situations, this to capitalists, workers, and caused a series of important influence on the whole market, in both cases is incomplete information and asymmetric information, through different mechanisms to play a role, and this difference is also very worth studying.Is the main purpose of this article, with the classic study of asymmetric information framework for methods, from the perspective of elements flow asymmetry, to analyze the flow of capital and labor problems, and further study of the internal concrete principles and mechanisms of extracting the general model and rule, and models, and then use this model to the specific problems faced by modern countries some reasonable explanation and effective solution.This article is based on asymmetric information theory in modern economics research train of thought for the framework, to the flow of capital and labor as the research object, the asymmetry problem of capital and labor for systematic research. Gram rove’s research about information asymmetry problem of incomplete information and asymmetric information problem is well known. Careful analysis of information asymmetry theory, it can be found that the reason that buyers and sellers have asymmetric information problem, the premise condition is because buyers and sellers are constrained by the incomplete information of the objective. In other words, incomplete information is the premise of information asymmetry. The flow of capital and labor is facing the same problem, namely, it is because the flow of capital and labor are not complete, there is asymmetry of the flow of capital and labor. Therefore, based on the analysis of analysis before the asymmetry of the flow of capital and labor, not completely to the flow of capital and labor problems are studied. In the specific study of the flow of capital and labor incomplete and asymmetric flow problem, this paper is using deductive argument rather than inductive approach to reasoning.The main research content of this article is divided into eight parts:first, the introduction of the selected topic significance, the basic concept of the definition, research background, content, methods, innovation and deficiency, etc are introduced; Second, literature review, and through the collection, classification, sorting and analysis of the literature at home and abroad, asymmetry problem, Labour relations, capital flows and labor mobility four aspects to the asymmetry of the flow of capital and labor studies, a literature review; Third, the overall considerations of capital and Labour mobility, the pursuit of benefit maximization principle, analysis of the objective function and behavior of capital and labor mobility, and demonstrates the flow asymmetry is the premise of flow asymmetry, on how to judge the asymmetry of the flow of capital and labor are analyzed; Fourth, incomplete flow mechanism and the influence of the function, the incomplete movement of goods may cause negative effect on commodity markets, and makes the whole market is in a state of failure, and the flow of goods is not completely, the greater the impact of, because of the particularity of capital and labor, making incomplete flows of capital and labor have different special effects; Fifth, symmetrical flow analysis, capital and labor capital and labor of symmetry flow belongs to the capital and Labour each flow is not entirely based on a higher level of comparative judgment, it means that the flow of capital and Labour is not completely the same degree, but not specific in what degree the same, different levels of the same have a different impact on the market; Sixth, the theoretical analysis of capital flows more smoothly cases, separately from the dimension of time dimension and the economic cost analysis of the connotation and the influence of capital flows more smoothly and then to carry on the comprehensive analysis, the analysis found capital flows more smoothly can make capital advantage, enabling capitalists in and have the advantage in the game of laborer, this advantage can lead to market failure, but the impact mechanism and imperfect flow caused by market failure is not the same, at the same time, in the case of the capital flows more smoothly, there will be a capital accumulation to increase, the gap between rich and poor to deepen, the phenomenon such as industry gathered differentiation; Seventh, labor migration flow situation of theoretical analysis, this part analyzes in the situation of labor flow more smoothly, capitalists and workers facing the situation and the possible choices, also analyzed the asymmetric flow’s influence on the market, namely the flow asymmetry will this well-known advantages by changing expectations and a profound impact on market clearing, cause the market failure, at the same time, also discusses the labor flow more smoothly to alleviate the urban population explosion. Eighth, conclusion, this part expounds the thesis conclusions and policy Suggestions, and the paper analyzes the content of next step research.According to the three elements of classical theory, the factors of production can be divided into capital, Labour and land, as the research needs, this article assumes that land elements for the setting value, compared the flow of degree of relationship between capital and labor. With asymmetric information theory framework as the research method, through the "contrast-to paraphrase" the Angle combined with logic reasoning and systemic analysis the problem of the flow of capital and labor, the following conclusions:first, the flow of capital and Labour is not completely will result in market failure; Second, the asymmetry of the flow of capital and labor can cause malfunction. But as incomplete information and asymmetric information, although also caused failure, on the impact mechanism has essential difference between flow so it is with the incomplete and asymmetry of flow.