On Governmental Failure And Its Redress In Public Regulation

Failure of market has long been studied by economics and its achievements have also been adopted and used for reference in field of law. With governments' broader and more thorough regulation on economy, the problem of failure of government urgently needs resolving. The theory of public choice explains and analyzes the phenomenon of failure of government while this dissertation stands from perspective of law, combining the notions of sociology, science of administration and economics to provide a systematic analysis and effective scheme of settlement on the failure of government. The article consists of three chapters.First chapter tells about the reason of public regulation and its orientation.This chapter starts from the problem of failure of market. After some discussion on the deficiency of market, the author points out the necessity of public regulation. Based on all these, the author makes an introduction on the mode and function of the public regulation.Second chapter is the core of this article, which focuses on the theoretical analysis of failure of government and its status quo. Failure of government is an unavoidable problem. In the author's opinion, the regulator's confusion on the concept of social benefit and governmental benefit is the reason deeply embedded, which neglects the function of check and supervision of the society as an independent existence, and also the value of social benefits. By clarifying the difference between concept of government and society, the author makes a good discussion on the society and social benefit, pointing out that the social benefit should be the aim of public regulation. Then, this article enumerates some manifestations of governmental failure and gives a good analysis on the reason of this failure.Chapter three tries to find some ways to cure the failure of government.There are three ways to rectify the failure of government. One is to introduce the mechanism of market into administration. Another way focuses on strengthening the binding effect of the constitution on government. The most fair and effective way is to establish the system of public participation, and that's the third way, which would allow the people to express their ideas in many channels and put these ideas into the process of decision-making and administration, so the government can get complete and objective knowledge on some problems. The public participation itself is also a binding power on government.