Macroscopic Resource Allocation Theory and the Empirical Research on China’s Development

Although the allocation relationship of macro production factors is a synthesis of micro individual allocation,it also has different premise foundations,detailed features,and measurement methods from micro perspectives.Under micro effective market conditions,the capital and labor are only input factors,which can freely flow without quantity constraints.In the macro environment,the input factors also are components of the production system,thus affecting the features of the system.The total amount of elements is not arbitrary due to natural laws and other conditions,so they can affect the macro resource allocation.By using the C-D production function,it is demonstrated that the optimization characteristics of resource allocation in production systems are not same when the average labor capital is greater than or less than one unit.Using variable elasticity parameter as indicators of resource allocation status for the economies of constant returns to scale.Empirical analysis shows that China has experienced three significant changes in macro resource allocation relationships since the reform and opening up with different reasons.Finally,suggestions for optimizing macro production resource allocation are proposed.