A New Production Function About Studying Process Of Knowledge And Technology

The author's understanding of behavior study is different from the neoclassical recognition. The author regards human beings as subject, while the capital is the object. Based on this understanding the author presents a new production function that is different from the neo-classical: There is no substitution relationship between capital and labor force, but subordinate relationship instead. From this function, and based on the hypothesis of monopolistic competition in the market and proliferation of technology, we can come to a conclusion that payment given in return for work done equals to one's contribution, which ensures probable equality in the society. Due to human beings' creative use of capital, the contribution of capital is greater than its payment, so it is increasing in labor payments and may propel the society. In this paper, human beings' creativity is regarded as "intellectual bonus", after which the expression and determining factors of the bonus are analyzed.This paper is divided into five parts. The first part falls into major achievement of innovation in economics by economists both home and abroad in recent decades; the second part elaborates the characteristics of "knowledge with Romer's opinion; the following part discusses the function the author has towards study of knowledge; the last second part analyzes the issues of "graduated students' difficulties to find jobs ", international "intra-industrial trade" and the evaluation of talents; at last the author draws a conclusion of this article..