New structural economic growth model and labor income share

A comparison of the share of international labor income from 1978 to 2019 indicates that developed countries generally conform to the characteristics of steady economic growth, whereas developing countries such as China do not conform to this trajectory. The relationship between China's labor income share and factor endowment is further explored, revealing obvious U-shaped characteristics. Combined with relevant theories concerning new structural economics, the new structural economic growth model is established on the basis of the time-varying elastic production function model. In contrast to the labor income share the model is found to better reflect the change in China's labor income share. Few scholars have explored changes in labor income share from the perspective of models. The new structural economic growth model proposed in this study can greatly enrich the research in the field.