Abstract
Recent directives of the Chinese government specify property rights and income distribution for factors of production. The study as to how these factors are allotted appropriate shares of business income is becoming essential to the establishment of the China’s modern enterprise system. When the manager is regarded as one of the factors of production, how one measures the value-added becomes a component of the income distribution system of the business. This paper surveys traditional views of the manager as a human capital, and offers an alternative suggestion for the measurement of the human capital of the manager which can more accurately reflect the reality of the operation of the business.
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