| Abstract | The change of the income share of the national factor, especially the labor factor, has always been the focus of attention of the society. In this paper, the national income is divided into lower skills of the labor elements of income, the intermediate skills of the elements of labor income, advanced skills of labor elements of income and capital elements of income. In the industrial sector level, using 1981 ~ 2012 input-output time series data, the translog production cost function, the establishment of Kalman filter measurement model, estimates of China's national economy, the 33 sector low middle and senior skilled labor and capital factor share share equations, the various elements of price change, partial technology progress with the change of economic structure makes an empirical study of the low, middle and senior skilled labor share and capital share of influence. The empirical results show that: (1) in the industrial sector level, some departments of capital income share decreased year by year in 2005 at the same time, the share of labor is rising, the main reason is that the advanced skills of growing relative prices and low skill labor price gap. (2) In the industrial sector level, the main reason for the decline of labor share is a decline in the low skilled labor factor income share; overall, comprehensive is mainly affected by low skilled labor income share and the industrial structure changes in labor share. (3) The factor price and technical progress, biased technical progress and economic structure changes have an important impact on the trend of changes in the share of low, medium and high skilled labor factor. |