| Recently, Shanghai Vehicle Quota System (VQS) aroused a lot of controversy. Having summed up the controversy in three questions, I analyze these questions and demonstrate my opinions.VQS could effectively buffer traffic jam and there are no better measures that can replace VQS presently. It is essential for Shanghai government to implement VQS. Therefore, Shanghai VQS is reasonable on this dimension.The essence of VQS is road license. Limiting citizen's driving liberty and property right by setting up road license is not part of exclusive legislative matters of National People's Congress and its standing committee. Shanghai Council has the power to set up road license on its own so Shanghai VQS is not illegal. However, connecting road license with vehicle registration contravenes laws. For this reason, Shanghai Council should separate road license from vehicle registration.Currently, there is no suitable means of distributing vehicle quota besides Open Bidding System (OBS). OBS could distribute road resources effectively and fairly. On the one hand, it is the best proposal in the present day. On the other hand, this proposal contravenes the Law of the People's Republic of China on Administrative License. How to solve this problem is worth further considering.
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