Construction Market Of Default Government Regulation And Governance

In the last several years, the construction sector in China has achieved great development and becomes the pillar industry. But due to the immature development of construction market and imperfect credit system, the arrear of wages is a very big problem. Taking as its research object the government regulation practice in dealing with the arrear of wages in the construction sector, the thesis aims to rightly position the government's function in market regulation, thus to build a long-time effective mechanism in controlling and preventing arrear of construction wages.First of all, judging from the situation, objective and subjective aspects of arrear of construction wages, the thesis points out that the irregular behavior and incredibility of the owner is the social root for arrear. The government needs to establish a regulation mechanism functioning in fair management of market subjects and precaution.Secondly, the thesis elaborates on the necessity to regulate the construction market by an analysis from the perspective of market failure theory and the peculiarities of construction market. The limits of government regulation have led to the problems that now exist. It further discusses on how to improve effectiveness of the government regulation by defining the boundary between government regulation and market autonomy, and the paradigm of cost-benefit. Through the research on the range and system construction of government regulation in construction market, the thesis demonstrates that, from the angle of government regulation, project surety-bond system will be an obligatory substitution.Lastly, following the example of bond model in international practice and by analyzing the realities for promoting this system in China, the thesis mainly deals with the areas such as the paradigm, ranges and steps for the obligatory practice of owner-paid surety-bond system in construction market in China. It has also put forward relevant suggestions on government function positioning, legislation, construction market credibility mechanism, project surety-bond market and premium, and etc..On the basis of theoretical research, the arrear of construction wages needs exploring practical experience, gradually improving the practice and credibility of construction market subjects, which will push the marketization process ahead.