Hicks On The Idea Of The Rising Condition Of Market Economy And Its Implications For China

Professor John·Richard·Hicks'"A theory of economic history"is a rare economic history classic in the international academic community which systematically clean-up and analyze the rise of the market and the formation and development of the market economy in human history, it has a very important reference for China which is establishing and improving the socialist market economic system. Hicks mainly from the monetary and financial system, legal system, credit institutions and science and technology to analyze the problems which appear in market economy's formation and development in human history, and our ancestors' countermeasures, the market economy are rising and developing from the reaction and the planning.The money as an economic circulation medium, throughout the market economy, is an important condition of the form of the market economy. In a market economy, money change their properties because of the added value that is, into capital. For company, capital circulation, value-added and accumulation are critical goal, and thus to promote the market economy development and prosperity. In the era of economic globalization and financial product innovation, monetary capital start to flow around the world, a variety of financial derivatives across borders, sweeping the world, increasing the risk of globalization and the opening degree of monetary policy. As the increasingly rising power in the world economic stage, China's monetary and financial system has withstood the test in crisis, increasing international influence, that will boost China's socialist market economic system to accelerate the development and improvement.Market economy is the legal economy. The pursuit of profit nature of the market and free competition rules will enlarge the social spontaneity and anarchy, the legal regulation is essential. In the history of the rise and development of the market economy, law system play an important influence for the human to trend toward a market economy, modern market economy can not do without the relevant legal norms and the system as a safeguard. China has always been inferior to the rule of man the country the rule of law, after the reform and opening up, China gradually cleared the rule of law that are "There must be laws to go by, the laws must be observed and strictly enforced, and lawbreakers must be prosecuted", and established the strategy of building a socialist country under the rule of law. But our commercial law system is still lagging behind the market economic development, the task of improving the legal system supporting are very difficult.Market economy or credit economy, also known as the contract economy. Credit as a code of conduct of market economy be always throughout the transaction's process. Sound social credit system can increase transaction efficiency, expand the trading range, ensure the transaction process smoothly, standardize the market economic development healthily. Since ancient times China is physiocracy upon commerce, Chinese people lack of contract economy's experiences, once set foot in the market economy will withstand the test of moral integrity, the credit institution-building is a long and tortuous road.Science and technology are the material and technical basis in development of market economy, is the enormous material and technological power source which promote the rise and the development of the market economy. Science and technology in the production process widely used to create a huge labor productivity, even workers free from the heavy manual labor, but also to the shortage of human material out of state, raise the standard of living and quality of life, bring to new material and cultural needs of the people, expand the breadth and depth of the production and consumption activities of human society, and promote the market economy to a highly developed and prosperous. China's pursuit of "leapfrog development" and building "innovative country" are the results of the countermeasures.