| After processing into the 21st century, the competition of human survival and national has changed roundly, soft power and hard power competition occur accordingly, while soft power has increasingly become a dynamic force of competition of hard power. Compared with the developed countries, the gap is not the largest GDP and military power, but a variety of soft power for China as the emerging country. Soft power gap becomes the most fatal weakness for constraining China's growing up. Derived from the concept of soft power, cultural soft power becomes the elements of soft power, and its basic elements. In this context of globalization, the cultural soft power, which becomes another force to change the world, is profoundly changing people's material life. The culture not only accumulates today's wealth, but also influences and determines the future of the economy. Economically developed countries and the fast-growing "soft power" countries have attached great importance to enhancing the cultural industry as the most important cultural soft power means. In the era of information globalization, the non-economic factors soft power is the variable or the multiplier, which doubled or decreased overall national strength under the premise that economic strength is confirmed to be the constant.In recent years, there are a lot of researches and discussion for the "soft power" and "cultural soft power", but most of them are considered as non-economic issues, lacking of a systematic economic analysis. From an economic point of view, it is the economics research topics of particular concern that the basic elements research which constitutes cultural soft power will be the path of promoting China's cultural soft power. The construction of China's cultural soft power has just started; there is still a considerable gap with the developed countries, the negative impact brought by imbalance of soft and hard strength development is emerging gradually; therefore, there are still a lot of concerns of the current and future situation for China's soft power from international and domestic society. There is a long way to enhance cultural soft power, and undoubtedly economics perspective illuminates to choose the path. Based on the analysis, drawing from the previous studies, this paper studies and discusses the cultural soft power, analyses the hidden power behind the system of cultural soft factors deeply from the angle of law and economics. Consciously, it improves the cultural soft power through rationalization of the system, namely, the rationalization of regulations and policies.Chapter One, introduction. First, the background of topics in domestic and international environment is sorted, which has improved the urgency of cultural soft power, clarifying the theoretical and practical significance of economic analysis. Then the theory at home and abroad, including cultural factors and economic growth theory, the economic growth theory providing theoretical support for soft power and general theory regulated by government have been combed. Through the combing the relationship between cultural factors and economic growth as well as cultural theory providing theoretical support for the soft power, we find that many economists have demonstrated that culture does has the efficient influence on economic growth. As the two wheels of human civilization, culture and the economy are essentially a dialectical, interactive relationship, though its development has its own rules and independence. By certain social and environmental factors, cultural mechanisms affect individuals, corporations and the government's economic behavior and thus affect economic development. Having become a unique and important resource, culture has been attached increasing importance in the field of economics. For the current study there are still some theoretical, empirical and even the ethical debate between culture and economy, and discussion of this issue does not form a logically consistent with mainstream economic analysis framework. Through the general theory of government regulation, we found that there are only a small number of studies in the existing government regulation on the cultural industry regulatory mechanism during the application of designing theory, building the appropriate regulatory mechanisms, institutions and systems of establishing a modern regulatory system. On this basis, the paper digs around the development of China's cultural soft power involved in a number of important issues from the political economy, economics, industry economics and other subjects in various fields. It uses the combination empirical analysis and normative analysis, the combination of benefit analysis, case studies, comparative studies, macro and micro analysis to achieve a systematic analysis.Chapter Two, the economic significance of cultural soft power. This chapter which attempts to consider the perspective of economics, the economic significance of cultural soft power, as well as soft and hard power of economic integration that may have synergistic effects, is divided into three parts: Firstly, the development of cultural factors and economic relations is illustrated. Secondly, the detailed analysis of the cultural soft power as the internal driving force of economic growth in resource allocation, resource allocation and configuration of the direction of efficiency which have positive economic effects is analyzed concretely. It reflects not only in its direct value creation, but also acts as an incentive effect, gathering integration effect, optimization and upgrading effect, innovation and brand enhancing effect of such amplification. As a competitive force in parallel, cultural soft power can play the role of soft power when the hard power of competition achieves the target cost which is tied or higher, and target discovery and integration of "soft power" resources, use the comparative advantages of soft power, then reduce the target cost and achieve the desired objectives. Finally, cultural soft power and hard power relations were compared with clear explanations. It summarized soft power and hard power which is the " Substantial is stuff", "Metaphysics is Tao" the dialectical, two-way relationship.Chapter Three, cultural soft power on economics analysis. This chapter studies conditions and mechanism in which the cultural soft power plays a very important role from the micro, medium, three levels of government regulation, deeply analyzes the mechanism of cultural soft power, and the factors which affected cultural soft power. At the micro level, it focuses on analysis of the brand, and creative culture from the business perspective, and how the main form generated a competitive corporate culture, and how corporate culture affected the competitiveness of enterprises. At the medium level, the research attaches the importance to the industry level, focusing on the soft power of culture which is closely related to the cultural industries, media industries, creative industries and the rule behind education sector special economic operation, analyzing the cultural soft power generation medium mechanism; At the macro level, it takes the culture of government regulation mechanism on the specific mechanism of soft power into consideration.Chapter Four, cultural soft power in international comparison and reference. There may be differences between Chinese culture, political systems, development goals and other countries, but the major developed countries still have a role in guiding us from the aspect of improving the cultural soft power in the practices and experiences. Enhancing China's cultural soft power requires not only localization of accumulated experience, at the same time; Western countries should study and learn the theory of resources and practical experience. The establishment and improvement of cultural industries in developed countries are a historical process of development. In the process, they gradually formed a set of effective management of cultural industries and cultural industries regulatory policies. The cultural management practices in major developed countries can be divided into three modes, namely, market-oriented in U.S., government-led in British and French, government-driven in Japan and South Korea and so on. This chapter summarizes the cultural management and cultural industries policy in the United States, Britain, France, Japan, Korea and the major developed countries. In order to enhance the cultural soft power of China it provided an international frame which can be referenced, and then pointed out the existence of cultural industries in the defects and disadvantages of government regulation through domestic and foreign government regulation mode, the main government regulation of cultural industries, cultural industry legal support system, government regulation of cultural industries means of comparison of these four aspects.Chapter Five, the Chinese cultural soft power status, problems and recommendations. This chapter mainly analyzes the soft power of culture and cultural industries policy, status, and problems, and illustrates the shortcomings of China's cultural industry policy. Drawing on national experience in enhancing the cultural soft power, it proposed to enhance China's cultural soft power policies and proposals, namely, placed improving cultural soft power on development strategy; It encouraged cultural innovation, fosters "cultural brand", develops and improves the cultural industry policies; improves the operation mechanism of the cultural industry, establishes modern culture industry groups, fully develops economies of scale; seriously perfects laws and regulations, protects intellectual property and so on.The main innovations of this paper are:First, most studies consider cultural soft power as non-economic issues, lacking of a systematic economic analysis. Discussed from the angle of economics, the studies that through what kind of regulations and policies can the cultural soft power be promoted are rather rare. This paper analyses the hidden power behind the system of cultural soft factors deeply from the angle of law and economics. Consciously, it improves the cultural soft power through rationalization of the system, namely, the rationalization of regulations and policies.Second, this paper studies conditions and mechanism in which the cultural soft power played a very important role from the micro, medium, three levels of government regulation, deeply analyzed the mechanism of cultural soft power, and the factors which affected cultural soft power, and then proposes policy recommendation on how to cultivate culture soft power.Third, the cultural industry is special properties department, which is not only ideological but also a general industry sectors. The government regulation and supervision should not only reflect the general rules but also fully take into consideration the special nature of regulation in this area, it cannot copy the experience of the general industry regulation, and more regulation cannot simply transplant Western ideas. Therefore, this paper proposes actual objective function, the incentive structure, constraints and practical tools which meet the standard of regulation and supervision of cultural industry in China, and explores the effective government of China cultural Industry regulatory system, based on summary, assessment of Western culture, industry regulators and the practical experience of the theoretical results.
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