On The Corporate Governance Mechanism Of Public Institutions

This paper is to explain the reason why the forms of Forest Property Right are so different in Fujian province and North Eastern Region, and to identify the key variables which have influence on the form of Forest Property Right, and to offer some references to optimize the allocation of forest resources. After weighing the benefits and costs of exercising property rights, people will choose an optimal form of property rights, with the new institutional economics basic Logical framework, this paper analyzes the differences ouccuring in the form of Forest Property Right between Fujian Province and North Eastern Region after The Reform of Collective Forest Property Right System. Empirical studies have shown that, with the further development of the reform, the form of forest ownership has changed in the northeast region and Fujian Province, a number of forestry resources have been used properly,getting rid of a dilemma of resources wasting, A new situation that forest resources are owned by the state,and used by privates appeared, but at the same time,in some degree, there have been tragedy of the commons; in Fujian province, the socialist market economy has induced many changes in the form of Forest Property Right, and with the confirmation of public policy, the form of Forest Property Right reverted from common property rights to private property rights, the phenomenon of common good rent dissipationrent is reduced. This paper argues that, in the same policies and regulations, forest market and natural endowment are the key factors leading the differences in the form of Forest Property Right in Fujian Province and North Eastern Region,through impacting the benefits and costs of exercising the Forest Property Right,the two factors determine people's choice of the Forest Property Right.