Very Time The Government Of Major Emergencies, And Other Temporary Price Intervention Policy Research

The core of the market economy is a price, and the price problems directly relate to the national economy and the people’s livelihood and social stability. Under the condition of the market economy, most commodities in China are configured and adjusted by the market, and their prices are determined by business operators independently according to the supply-demand situation in the market. However, the market mechanism is not everything due to its inherent defects which can lead to the existence of market failure objectively. Especially during the emergency, such as in war, inflation or public emergency, the relations between supply and demand of commodities were often to be an imbalance and it was hard for the market price mechanism to play a role effectively, which caused abnormal price risen and will lead to social disorder when seriously. In these cases, the government needs to use the "visible hand" to intervene in time so that making up for the weaknesses of the market price mechanism, and the temporary price-intervention policy is one of the principal measures. Practice has proved that some abnormal price rise events were worked out effectively by the implementation of temporary price-intervention policies in the special period in China. However, as an important mean of government regulation, the policies of temporary price-intervention played a positive role while it was also often accompanied by the damaging the interests of producers and operators, exacerbating in short supply and the reduction of the quality of the goods, which were caused by both of government failure and imperfect existing temporary price intervention policies. In this paper, the rationality of temporary price-intervention policies applied by government and the current temporary price-intervention policies were discussed and analyzed based on the related theories of economics and management, the actual situation in China and province of Shaanxi, and the improved measures of China were proposed on the basis of the measures of experience of temporary price-intervention both in and outside China.