Collective Land Illegal. View Of Law And Economics In The Stock Market

Recently, there have been many cases that collectives transfer the land to the market in the form of renting, pooling, cooperating, selling, etc., which causes great damage to the land management and turns out to be a tough challenge to our legal system. Although the illegal circulation of collective land has its social base, it is the improper allocation of collective land's property right, as well as the lack of contractual spirit in land expropriation that attribute to the problem. Through cost-benefit analysis and opportunity analysis, the illegal circulation of collective land is proved to be an effective choice for the collectives under such circumstances. On the contrary, the system efficiency cannot be realized when trying to restrain or forbid the illegal circulation of collective land. Consequently, on one hand, great transaction cost has been wasted during the illegal circulation of collective land; on the other hand, huge administration cost also has been wasted.However, the legislation of economic law is a result from benefit choice, harmonization, and balance. Even through the prohibitive rules on the circulation of collective land still cannot be abandoned, the country has to provide evadable terms, as well as changes in legislation and practice, with the illegal circulation of collective land consistently confronting the macro-land system in the form of micro-behavior. Concretely they are as follows: Firstly, the golden rules "administrative result comes first" offers possibility for the legitimization of the illegal circulation of collective land. Secondly, the law does permit several cases when the collective land can be circulated to encourage the township enterprises. Thirdly, some experimental areas have passed the regulations that affirm the circulation of collective land for construction. Among them all, < Regulations on circulation of the collective land for construction in Guangdong > is representative. It was erected on October 2005, and not only owns the highest efficacy, but also has the most detailed rules on the scope of circulation, land-use-purpose restriction, circulation procedure, benefit from circulation and the legal liability. At the same...