Financial Crisis In The Context Of Active Fiscal Policy Legal Issues

This paper studies some legal issues exist in the implementation process of China's proactive fiscal policy, after the 2008 U.S. financial crisis. Since the 2008 U.S. financial crisis, it diffuse from local to global developed in a crazy rage all over the world. From developed to emerging market countries, from the financial sector spread to the real economy, pulled the whole world economy into recession. As China's economy's rapid growth in the past several years is mainly dependent on exports and investment, over-reliance on overseas markets, which make our economy reflecting strong on weak external demand, Coupled with domestic private investment going into the downward cycle stage, resulting in excess manufacturing capacity, fluctuations of production price, the real estate market correction, rising unemployment and economic decline. Facing this sudden crisis, many countries have taken measures to minimize the impact of the crisis on its own. The introduction of 700 billion U.S. dollars in the U.S. financial rescue plan and the $ 787,000,000,000 economic stimulus plan, the EU introduced a total of up to 200 billion Euros economic stimulus plan, our government launched 4 trillion rescue plan, is designed to expand demand and adjust economic structure to alleviate the impact of financial crisis on China. However,,in the implementation's process of proactive fiscal policy, there is many problems ,such as over-reliance on investment, can not form a virtuous cycle, lack of consumer demand, the marginal consumption level of residents is too low, the imbalances of the economic structural, the legal system is not perfect and power abuse issues. China is also faced with many difficulty to solve many relations ,such as market and government relations, the relationship between freedom and order, efficiency and democracy .to Solve these problems, for China's proactive fiscal policy to find a way out of the woods, become an urgent problem of the new topics.By analyzing the causes of the financial crisis and its impact on China, we understand the background of the proactive fiscal policy. By comparing the response policy of United States, European Union, we found a few legal issues exist in the implementation of proactive fiscal policy .Combined with the practical problems and difficulties in China, drawing on the experience and lessons of European and American response policy, I made some recommendations on China's proactive fiscal policy problems and the future orientation, look forward to contribute to our proactive fiscal policy to get out of the woodsThe main part of this thesis will go into four sections. The first part introduces the causes and impact of 2008 financial crisis, focusing on its legal aspects that causes the crisis and its impact on China, The second part describes the United States and European Union's measures to tackle the financial crisis, meantime, draws on the experience and lessons of European and American response policy. The third part describes China's measures to tackle the financial crisis, meantime, reveals a number of legal issues of China's proactive fiscal policy exist in the implementation process. The last part poises a series of recommendations and responses to the problems and the future orientation of the proactive fiscal policy...