Market Credit Ensured By The Economic Law

Market Credit, as an important social capital, provides a basis for the establishment of a fair, justice, stable and free order in the market. To maintain and ensure the market credit is the focus of Market Economy, which is also a core of the national economic legal system. This thesis, based on the juristical definition of Market Credit, serves as a thorough analysis of the fact that the Economic Law is essential to guarantee the Market Credit with the functional absence of the Civil & Commercial Law in ensuring the Market Credit. Further expanded on are the two ways of ensuring the Market Credit by the use of the Economic Law. With the framework of the Economic Law, the construction of a series of legal systems, such as credit checking system, market entry and withdrawal mechanism, market supervision system and punishment mechanism for Credit Loss, can play a direct role; the governmental behaviors and the enclosure of information in economic management regulated by the Economic Law can function indirectly.This thesis is divided into four parts.In the Part One, a general account of Market Credit is presented, in which the legal definition of the Market Credit, the mechanism of Market Credit and the status quo of the Market Credit home and abroad are included. First, since Credit is the root concept of Market Credit, what is Credit in law should be defined before what is Market Credit in law. On the basis of the definitions from the perspectives of economy and sociology, this thesis generalizes the characteristics of Credit, based on which, the legal definition of Market Credit can be concluded. Secondly, Part One discusses the two types of Market Credit, and identifies the Law as the main means to establish and ensure the mechanism of modern market credit. Thirdly, the present situations and causes of Market Credit Loss in China are analyzed in Part One; in addition, the Market Credit system in the U.S is introduced, which is comparatively sound and can be considered an example to us.Part Two focuses on the necessity and feasibility of the Economic Law in ensuring the Market Credit. This thesis affirms that the Civil & Commercial law plays the irreplaceable role in guaranteeing the Market Credit, but its functional absence is also noticed. However, the very absence is the reason why the Economic Law is necessary in the course of ensuring the Market Credit. In addition, as a specific departmental law, the Economic Law can safeguard the Market Credit in a direct way, through the construction and perfection of such systems as credit checking system, market entry and withdrawal mechanism, market supervision system and punishment mechanism for credit loss. Furthermore, the Economic Law helps regulate the governmental behaviors in managing economy, establish and maintain the government credit; thus the Market Credit is ensured in an indirect way. It is the direct and indirect ways of guaranteeing the Market Credit that make the Economic Law's functions feasible.Part Three further expands on that the Economic Law ensures the Market Credit in a direct way. This thesis holds the idea that the Economic Law can safeguard the Market Credit in a direct way, through the construction and improvement of such systems as credit checking system, market entry and withdrawal mechanism, market supervision system and punishment mechanism for Credit Loss. Thus, the four systems are discussed one by one. First, this thesis digs into the development and status quo of credit checking system in China, and lists the issues faced when China's constructing credit checking system and its solutions. Secondly, the market entry and withdrawal mechanism serves as a premise of ensuring the Market Credit. With the purpose of making the market competition fair, orderly and safe, a strict market entry and withdrawal mechanism should be set up so as to ensure the suitability of all market players. Thirdly, the market supervision system is a solution to ensure the Market Credit. As the legal criteria in regulating the national economic operations, the Economic Law can be used as the framer of market rules and the supervisor of its implementation in the name of state power. When the credible are rewarded and those who break their words get punishment, the Market Credit gets ensured. Fourthly, the punishment mechanism for credit loss serves as the last resort. The balance between benefits and losses brought by the Credit Loss is the key to restrict the behaviors of Credit loss. Therefore, an important measurement to ensure the Market Credit, is to improve punishment mechanism for credit loss based on the ongoing legal systems.Part Four talks about the indirect way of ensuring the Market Credit. First, based on the juristical definition of Credit, the juristical definition of governmental credit is defined. Secondly, the status quo of the governmental credit and its history are presented. The governmental credit is now in a bad state because of the lack of persistence in implementing the policies, the absence of openness in governmental information and the abuse of governmental power. The root lies in the big government, the selfish officials, and the absence of the moral beliefs and the supervision of the governmental behaviors. Thirdly, this thesis holds that, if the governmental behaviors and the enclosure of information in managing economy can be regulated, the proper governmental interferences to the market can be realized, and the economic policies can be implemented in a scientific and persistent way, the government Credit can be ensured by the Economic Law.