The Price System In The Network Economy

21~st century is the era of Cyberspace Economy and its emergence &development would bring dramatic changes in traditional patterns of resources distribution, market structures and consumption modes as well as business management. Definitely, these changes would be reflected in prices via the market.Based on gathering material comprehensively, the paper analyzes new features of the Cyberspace Economy and explores the course of the influence of the Cyberspace Economy on business operation and on the price system in the end. The paper shows that in the aspect of formation, the individual work hour of digital products directly becomes the social work hour, then, sets the price; in competition, traditional market and market via internet has become two platforms for price competition in which not only the competition among sellers gets much more intense but also the competition among buyers has been activated. Moreover, in price operation, transactions via internet tend to form a new system ofprice which to some extent controls the inflation occurred in the traditional market and in a long-term stabilize prices. Clearly, the Cyberspace Economy has a significant influence on price formatbn, competitbn over price and price operatioa Then, it would makes an impact on the traditional relation brought by competitbn over price and price operation and the price system will has its new characteristics. In the end, the paper puts forward some advice to China's price regulation in the era of Cyberspace Economy.