Abstract

With regards to the parameters labor&capital elasticity and technological parameter at Cobb-Douglas function the detail study is done in this paper. It is found that the α decreases when quantity inclines within 10~20 according to modeling in 2. Meantime, the β increases with increasing commodity quantity from -0.3 to 0.1 in here. The γ declines from 10 to 6 within it. The α increases slightly when quantity inclines within 1~9. The value here is not good we supposed that the three conditions are too little. Meantime, the β decreases slightly with increasing commodity quantity here. The γ maintains a constant one about 10 within it. The lowest point is 12 for γ and β and the highest point is 16 for α according to simulation. So the best scope is quantity from 12 to 16. it is found that the total product will incline when labour increases. The total product will decline when capital price increases. Meantime the total product will decline when capital price increases.

Keywords: trend, parameters, commodity quantity, capital, Cobb-Douglas function; total product; relationship; the best labour and capital; microeconomics; labor; total cost; capital price