Research On The Phenomenon Of State Capture In Transforming Period

Recently years, the problem of state capture has been a great importance to academic field, which has turned into very serious and pressing in those transitioning countries, such as Russia and central European countries. The problem of corruption caused by the state capture has barriered the reforms in politics and economy in those countries, and caused social instability and uncertainty. The nature of government regulation should be to solve the inefficiency in distributing resources and market failures. Under the condition of market economy, why did government failures happen? And will state capture also haunt China since our country is in its political and economy transition period? What causes this phenomenon? All of these questions are thought-provoking and arouse our concerns.Based on the theory and methods of government regulation, this paper uses the normative analysis and empirical research methods to analyze the emphenomenon of state capture. This paper argues that state capture does exist under China’s current social systems, and the trends will be further spreading. The reasons for this phenomenon are government officials to seek maximum benefits and moral degeneration as much as possible, and the environment and legal system of socialist market economy is not sound. If these problems are not effectively addressed, it will directly restrict the development of our socialist market economy. The corruption which caused by state capture will affect the images of the party and government, cause serious social differentiation, and affect the social stability and development.By compared with the reform measures in government regulation taken by the developed countries, combining with the present systems in China, this paper uses the new state capture theory to propose from the ideological and moral education, strengthen the construction of laws and regulations, establish and improve relevant aspects such as institutional mechanisms, to take effective measures to reduce the state capture.