Study On The Single-track System Of Urban Land Supply

Article 43 of Land Management Law prescribes that "any unit or individual that needs land for construction purposes should apply for the use of state-owned land according to law, which provides a legal basis for single-track system of urban land supply. A series of reasons contribute to the formation of single-track system. For one thing, not only is the ownership of collective land confused, but also it is restricted by law. Consequently, rural land has been divorced from the market for a long time. For another thing, we imitate the lease system of public land in Hong Kong after the initiation of the policy of reform and opening-up to the outside world. Although the lease system in Hong Kong can maintain the system of socialist public ownership effectively and increase the government revenue, it is incompatible with national condition.The defects of single-track system are obvious. Singe-track system and the reform of tax-sharing system in 1994 jointly caused the abnormal land revenue, which is the, biggest disadvantage. Land revenue not only raises the house price but also has negative effects on the healthy development of finance in the long run. In addition, single-track system of urban land supply seriously damages the interests of peasants, resulting in the high incidence of corrupted cases on land and sharp cutoff of cultivated land.The disadvantages presented by single-track system make it necessary to establish double-track system of urban land supply that distinguish land used for public construction from land used for operational construction strictly. Establishing the double-track system should use public interest as the standard. It is important to define public interest clearly and land can be requisitioned only for public interest, then land used for public construction and land used for operational construction can be distinguished strictly. Therefore, defining public interest is the premise of the establishment of double-track system.That the primary land market is under government monopoly is the biggest obstacle to establishing double-track system. Therefore, breaking government monopoly and opening up the primary market of rural collective land are the key points. When it comes to the problem of\opening up the primary market of rural collective land, this article illustrates that we should perfect relevant rules, trivialize the ownership and emphasize the land use right, establish the institution for expression and so on.On the one hand, the supply system of land used for operational construction should be established. On the other hand, the supply system of land used for public construction should be regulated and perfected. For the supply system of land used for operational construction, we should make full use of market mechanism and regulate the role of government. For the supply system of land used for public construction, this paper discusses it from the perspective of the procedure and compensation of land acquisition.