See Yunnan Agricultural University, Li Yongchun's "On Market Economy is the Economy of the Rule of Law", published in Journal of China Agricultural University (Social Science Edition), Issue 03, 2000

On Market Economy is Rule of law economy

Li Yongchun (Yunnan Agricultural University, Kunming 650201)

Abstract: The article explains the connotation of the rule of law and the rule of law economy, pointing out that the rule of law is an inherent requirement for the development of market economy, and market entities The establishment of the market economy order, the formation and development of rules and macro-control all require the rule of law.

The healthy development of China's market economy cannot be separated from the rule of law. It is necessary to establish a legal system that meets the requirements of a socialist market economy, improve the legal awareness of the entire people, and improve the socialist democratic system and corresponding supervision and restriction mechanisms.

Keywords: rule of law; market economy; rule of law economy

2. The market economy calls for the rule of law

It is generally believed that the market economy is an open and competitive one , A high-efficiency economic system is an effective mechanism for regulating economic operations, rationally allocating resources, and promoting the development of the entire social economy.

The so-called market economy, expressed in the language of economics, is: an economic system in which different stakeholders in society allocate resources through the market on the basis of socialized mass production.

1. The rule of law is an inherent requirement for the development of a market economy

(1) The establishment of market entities requires the rule of law to change the ownership structure under the planned economic system and recognize that the means of production belong to different owners It is a prerequisite for establishing a market economy, because the main body of the market economy requires that all commodity producers be independent economic entities.

In the past, under the highly centralized planned economic system, the Communist Party was actually the main body. The Communist Party directly controlled and led the enterprises and prepared plans at all levels and issued them to the enterprises to organize production.

Under the market economy system, enterprises are required to be independent commodity producers that operate independently and are responsible for their own profits and losses.

All these independent commodity producers have to face the market. In the market, commodity owners sell commodities and buyers purchase commodities. They buy, sell and exchange commodities through the market. Their purpose is to Pursue and realize one's own economic interests.

To meet the needs of their own economic interests, the property of market economy entities must be fully recognized and maintained, and in order for the property rights of market economy entities to be fully recognized and maintained, they must be protected by law. This It is the basis for the operation of the market mechanism.

On the one hand, the law guarantees that market entities have the right to control, use and dispose of their legally owned material wealth, including land, natural resources, labor products, currency and various securities; on the other hand, the law guarantees The right of market entities to possess and use their spiritual products, such as patent rights, copyrights, and trademark rights, is a prerequisite for the economic activities of market entities.

The law guarantees that ownership is an exclusive property right. When someone obtains ownership of a certain property, it means that any other person is excluded from interfering with the property.

Ownership can be opposed to anyone, and no one else can hinder or interfere with the owner's exercise of ownership, nor can he infringe on ownership.

Ownership is the premise and result of commodity production and exchange.

Without the law, the ownership of market entities will not be fully recognized and protected, and a market economy will be out of the question.

(2) The formation of market economic order and rules requires the rule of law. Under the market economic system, the goods produced by people in social labor are exchanged in the market according to the principle of equal exchange, so that producers and consumers to obtain the value and use value they need.

Therefore, the whole society must follow the law of value to organize commodity production.

The play of the law of value will inevitably lead to competition, and competition requires good order.

An ideal and complete market economy should be fair and contractual.

The market economy is an economy of fair competition. Competition is an inevitable product of the market economy and the driving force for the normal operation of the market economy. It requires every market subject to stand on the same starting line and abide by the *** Agreement. rules.

The market economy is also a contract economy, and the exchange relationships between various market economic entities are connected in the form of contracts.

In a market economy, the rules and order of fair competition can only be effectively confirmed and implemented through legal forms.

Contracts and credit relationships in market exchanges can only be effectively realized if they are legally confirmed and become a contractual relationship protected by law.

Market economy is an economic activity that is orderly and follows certain rules. This order and rules require strong legal guarantee.

However, the market economy is often subject to interference from both internal and external aspects.

Interference from within the market is mainly caused by the irregular behavior of market entities, which manifests as forgery, fraud, deception, breach of contract, illegal monopoly, unfair competition, etc.

Interference from the outside is mainly caused by improper exercise of administrative power, which manifests itself as "rent-seeking" of power, arbitrary apportionment, arbitrary fines, arbitrary fees, and indiscriminate issuance of licenses.

Internal and external interferences interact with each other, causing market activities to fall into a state of disorder and chaos.

Therefore, it is not only necessary to declare the basic rules of the market in the name of law to establish a good market order, but also to limit the power of the government and prevent improper interference of power in the market.

(3) Macro-control of the market economy requires the rule of law. On the one hand, market economic relations are property relations, and on the other hand, they are economic management relations. They are responsible for planning and organizing economic activities in the general process of social production. , material interest relationships that occur in the process of command, supervision and regulation.

The market economy is inseparable from the government's macro-control, but years of economic practice have proven that if the government's regulatory behavior is not regulated, it will prompt short-term behavior of production entities and induce market entities to Irregular behavior occurs, and once the short-term behavior of market entities becomes serious, it is difficult to solve it with conventional regulatory methods, and it is difficult to standardize the government's regulatory behavior, which forms a vicious circle.

Moreover, the government often interferes too much in economic activities for the sake of certain power and interests.

For example, they strictly control the rights to distribute materials and funds, product pricing rights, personnel management rights, etc., and arbitrarily infringe on the rights and interests of enterprises and individuals. Individual *** officials wantonly engage in power-for-money transactions, enrich themselves, and engage in corruption. Corruption has become an important reason for corruption. Therefore, when developing a market economy, certain legal constraints must be imposed on ***.

2. The rule of law is the only way for the development of market economy

From the perspective of the history of capitalist development.

The capitalist market economy has experienced two major stages of development, namely the free competition stage and the monopoly stage.

Different stages require corresponding legal norms. The basic premise for the establishment of the capitalist production mode is primitive accumulation. The civilization of "sword and fire" transforms direct producers into wage laborers, and transforms money into Capital, economic law played an important role in this process.

Among them, Britain is the most typical.

Beginning in the seventeenth century, Britain promoted the enclosure movement and promulgated more than 2,200 land laws from 1700 to 1801. Through these laws, feudal land ownership was changed to capitalist ownership, forcing farmers to Separated from the land, it provides a large number of wage laborers for the development of the capitalist market economy.

At the same time, in order to accelerate capital accumulation, carry out free trade and free competition, and promote the development of capitalism, various capitalist countries have formulated and implemented the Civil Code and Commercial Code to ensure that The invisible hand regulates the movement of the market.

From the end of the 19th century to the beginning of the 20th century, capitalism began to transition from the free competition stage to the monopoly stage. The emergence and development of emerging science and technology, and the high concentration of production and capital made social and economic relations increasingly complex. In order to avoid the turbulence of the entire social and economic life caused by fierce competition among monopoly capitals, the bourgeoisie of various countries began to rely on their state power to formulate and promulgate economic laws and intervene in social and economic life. Public law began to formally intervene in economic life, and gradually became the main regulation A means of market economy.

As a means of state intervention in the economy, economic law has had a significant impact on the capitalist social economy. Especially from 1929 to 1933, after the capitalist economic crisis, governments in various countries began economic legislation and judicial work. And use law as an important means of macro-control of the economy.

During the New Deal period of Roosevelt, Keith’s economic theories and policies were adopted, and the National Industrial Recovery Act, Agricultural Adjustment Act, Labor Relations Act, Social Insurance Act, Export A series of relevant economic laws such as the Administration Act, which uses economic legislation as a measure to adjust the national economy, has effectively promoted the prosperity of the American economy.

After World War II, international economic competition and divisions further intensified, and governments in various countries further used laws to intervene in the economy, especially Germany and Japan.

Germany has promulgated a huge set of economic legal norms with antitrust law as the core, which has played an important role in promoting the recovery and development of the German economy.

Similarly, facing the ruins and chaotic social economy after the war, Japan followed the example of Germany and formulated a series of economic laws and regulations, carried out land reform, eased labor-capital conflicts, and based on the needs of different stages of economic development. requirements, adjusted the focus of legislation, and formed a relatively complete system of economic laws and regulations, which played an immeasurable role in Japan's transformation from a technologically backward industrial country to a country with highly developed industrial technology.

It can be seen that the development process of the capitalist market economy is the process of legalization of the market economy. The legal system is inseparable from the development of the market economy and is an inevitable result of the development of the market economy.

3. The healthy development of China’s market economy cannot be separated from the rule of law

Since the reform and opening up, the highly centralized planned economic system has gradually shrunk, and the market has gradually entered social and economic life, promoting social development of productive forces.

However, in the process of converting the old system from the new one, some new problems will inevitably arise, such as various breaches of contracts due to the lack of reasonable concepts of property rights and contract spirit, various unethical behaviors in commercial activities, etc. It has seriously affected and interfered with the healthy development of the economy. In addition, the market itself has shortcomings such as shortness, blindness, profit-seeking, and differentiation that are difficult to overcome. In the process of market economic development, illegal reselling, local protectionism, environmental pollution, and two-level One of the main reasons for a series of issues worthy of concern, such as the increasingly serious differentiation, is the lack of complete economic legislation, justice and law enforcement, especially the lack of a legal and regulatory system for normal market operations.

Therefore, in order to strengthen and consolidate the socialist market economic system, we urgently need to proceed from China's national conditions and according to the inherent laws of the operation of the market economy, formulate, promulgate and implement a set of relevant laws to maintain the order of the market economy, Regulate and control the operation of the market economy and promote the healthy development of the market economy.

First, in terms of basic systems, the basic socialist economic system should be maintained and the legitimate rights and interests of the multi-ownership economy, dominated by public ownership, should be protected.

Second, in terms of market order, legislation and supervision should be further strengthened to maintain the socialist market economic order, regulate people's economic interactions, protect legal economic behaviors, and sanction and prohibit illegal activities.

Thirdly, in terms of institutional transformation, government behavior should be further stipulated and restricted legally to avoid arbitrary and excessive interference by the government on enterprises, ensure the separation of government and enterprises, and realize the transformation of government functions.

Fourth, in terms of foreign relations, as my country’s foreign economic relations are increasingly connected, foreign-related economic disputes are also increasing. This requires us to strengthen the foreign legal mechanism and resolve the economic interests that arise in foreign economic relations. disputes, safeguard national integrity and promote foreign economic development.