Promoting Supply-Side Structural Reforms Through Competition Policies

In recent years,the economic growth of our country has been slowing down,the total cost of national production has been raised,the basic conditions for constraining economic development have undergone fundamental changes,and new imbalances have also emerged.The most obvious of these are the supply side of our country have great shortcomings for users' response and demand-side management,leading to a serious imbalance between supply and demand.Some industries have overcapacity but consumers' needs are not satisfied.Therefore,in 2015,General Secretary Xi Jinping proposed a “supply-side reform” and stressed that while moderately expanding total demand,we should make every effort to strengthen supply-side structural reforms,focus on improving the quality and efficiency of the supply system and enhancing the driving force for sustained economic growth.The supply-side structural reform is to promote the structural adaptability and flexibility of supply structure and promote economic growth through market competition to promote innovation,increase production efficiency and enhance product competitiveness rather than relying on “stimulus policies” to boost aggregate demand.While competition policy is aimed at maintaining a fair and competitive market environment,eliminating monopoly,promoting technological progress and encouraging innovation so as to enhance economic efficiency and social welfare as a whole.Therefore,the intent of the competition policy and supply-side structural reforms are highly similar in content.And both goals need to be achieved by defining the boundary between the government and the market and letting the market mechanism play a decisive role.Therefore,the implementation of the competition policy is necessary to promote supply-side structural reforms.The implementation of competition policy needs to determine the fundamental status of competition policy in economic policy.According to the experience of countries in Europe and East Asia,in order to achieve economic restructuring,productivity levels continue to rise,basic economic policies need to shift from industrial policies to competition policies,and government intervention requiresgiving way to market competition.The determination of the fundamental status of China's competition policy is both a realistic necessity and a legal basis.Implementation is the key for implementing the competition policy to promote supply-side structural reforms.Due to the current social the public and public institutions to compete all don't know much,so,first of all,we must disseminate the understanding of competition among public and public institutions through competition advocacy and create a favorable competitive environment for supply-side structural reforms.Furthermore,it is necessary to ensure the smooth implementation of the supply-side structural reforms through the enforcement of the antitrust law,including the regulation of monopoly agreements and the improvement of merger control.Third,Regulating the use of government power is a very important part of the supply-side structural reforms,it is necessary to regulate the use of government power through competition law in order to clear the biggest resistance in the supply-side structural reform.It is necessary to regulate administrative monopoly to constraint the use of government power in supply-side structural reform and competition assessment system to regulate the use of government power in supply-side structural reform.