JOURNAL OF ZHONGNAN UNIVERSITY OF ECONOMICS AND LAW

Steven Cheung＇s economics which bases on individual benefits maximization of New Classical Economics as internal core and adding some constraint conditions such as transaction costs,property rights and contract as protective belts, derives a series of testable hypothesis in order toget the general paradigm of economic explanation. It follows the fundamental assumptions of stablepreference and rational choice in Mill Paradigm and Marshall Paradigm, but it adds the Coase Revolution of transaction costs constraint. As a result, its explanation capability is beyond SamuelsonParadigm and New Keynes Paradigm. So, Economic Explanation Paradigm is the same with MillParadigm, Marshall Paradigm, Samuelson Paradigm and New Keynes Paradigm, which should beconsidered to be an important synthesis in the history of economic thought.