Abstract:Based on the heterogeneity of regional, period and industry, we develop trans-log production function model including capital, labor and technology. The research shows: marginal productivity of capital and labor is decreasing, and capital and labor are complementary, and marginal productivity of technology is increasing. The substitution elasticity of capital and labor tends to decrease slowly and it is less than one. Difference in technical progress is shrinking, and technology improvement has the features of capital-augmenting and labor-biased.