A Research On The Technology Capital Allocation

Talents, technology and capital resources are basic resources of our economicdevelopment. In the perspective of finance, the role of talents, technology and capitalresources is actually the importance of human capital, technology and other capital inone enterprise. Therefore, it is very necessary, the research of the substitution oftechnology capital for human capital and relationships among human capital,monetary capital, physical capital and technological capital.This paper studies the above problems with the empirical analysis method. Fromthe perspective of elements of capital, financial statement data selected form Chinesecompanies in Shanghai and Shenzhen is analyzed. The stock of corporate humancapital, monetary capital, physical capital and technological capital is preliminaryestimated, therefore, the overall allocation of the factors of production in Chineselisted companies is understood. And then Chinese listed companies are dividedregionally and industrially in order that we can better analyze capital allocation ofproduction factors. After that, the substitution of the capital factors of production inChinese listed companies is discussed regionally and industrially in this paper. In theabove reasoning and writing process, two hypotheses proposed are demonstrated. H1:For the enterprise, an objective and stable relatively proportion of allocation of thecapital factors of production may exist. H2: the extent in which technology capitalsaves and replaces human capital is larger than that in which the material capital savesand replaces human capital. After the measurement and analysis of the stock of humancapital, monetary capital stock, the material stock and technical capital in Shanghaiand Shenzhen, we obtain the empirical results identical with expectations. That is, theminimum proportion of the capital stock is technology capital, followed by humancapital. Monetary capital stock and material stock have the largest proportion. Incertain industries the former is greater than the latter, and in some industries the casereverses. Moreover, the material capital stock has the state that the East is higher thanthe West, and human capital and technological capital stock continued to rise from2007to2012. The above phenomenon shows that human capital and technologycapital have the attention in various regions of China. From the measurement of thecapital stock, the proportion of technology capital remains low, followed by humancapital. Monetary capital and material capital remain a major proportion in various industries.In this paper, the statement are concluded below：(A), a complementaryrelationship between the technology capital and human capital in the enterprise is got,as well as material capital and human capital. That is, the various elements ofproduction complementary for each other create value for the enterprise and thestructure of capital elements and dynamic adjustment in the enterprise is anomalousobviously.(B), in the mining, construction, water conservancy, environment andpublic facilities management, health and social work, accommodation and catering,renting and business services, a strong positive relationship between technologycapital and human capital is presented. In the rest industry the case reverses. Inelectricity, heat, gas, water production and supply industry, construction, education,financial services, wholesale and retail trade, culture, sports and entertainment,manufacturing, leasing and business services, the negative relationship betweenmaterial capital and human capital is presented more obviously and the rest industrythe case reverses.(C), in Chinese listed companies in Shenzhen and Shanghai StockExchange, the company’s technology capital is replacing human capital, and the samefor the material capital. The extent in which technology capital replaces human capitalis larger than that in which the material capital replaces human capital. If this issue isresearched industrially, empirical results can’t sufficiently support the hypothesis.