Abstract

Support China's economic growth in the past 30-year high and not the main factor inputs and technological progress, this extensive growth mode and this mode of economic growth is not sustainable. China's economic development is to enter the "Lewis turning point range," which may change the mode of economic growth mainly depends on technological progress to provide the conditions, it may trap the economy into balance. Technological progress itself has inherent logic, it stems from the division of labor, and spontaneous evolution of division of labor but also has a positive feedback mechanism. Building "innovative country" is difficult to rely on the government to mobilize all social forces to focus on research of the "National System" to achieve, the deepening division of labor is the technological progress, sustained economic growth and thus is a decisive factor. It is the factors inputting rather than the technological progress to support China's rapid economic growth in the past 30 years, however, it is not sustainable that the extensive growth style and the economic growth under such kind of style. The fact that China's economic development is entering 'the Louis' turning zone' may provide conditions to the transition of economic growth style, meanwhile it may also make the economy fall into the equilibrium trap. Because there is its own inherent logic in the technological progress, it is impossible to achieve the technological progress widely by 'Whole Country System', which depends on the government's role. The technological progress is from the labor division which strengthens itself through the positive feedback mechanisms. The development of labor division is the decisive factor for the technological progress and sustained economic growth