The Regulation Of Government Indirect Aid Under Anti-Monopoly Law

Government Aid,which mainly draws on the system of State Aid under EU competition law system,is not a familiar concept under our traditional legal system.State Aid Modernisation issued by the EU in 2012 emphasized that an effective internal market requires not only the establishment of regulations in a comprehensive market without borders,but also competition policies,including state aid control,to ensure that the internal market will not be distorted by anti-competitive behaviors of enterprises or member states.Government Aid essentially reflects the dynamic relationship between the government and the market,and also involves the coordination of competition and industrial policies.Since Government Aid may affects all market participants,including a national government,and then affects domestic and even international markets,it naturally becomes a content that a country's competition law needs to pay attention to and regulate.Among the endless stream of Government Aid behaviors,some of them are more hidden and special which are often being overlooked.These behaviors are different from direct Government Aid behaviors,such as government subsidies and tax incentives.They are called Government Indirect Aid in this paper because of the indirectness of aid subjects and aid methods they have.It usually manifests itself in the fact that the government intervenes in other market economy entities,participates in the market,or conducts Government Aid in the name of market behavior such as investment,which is a manifestation of infiltration and sinking of the public power.The analysis and regulation of Government Indirect Aid need to be specialized and refined on the general basis of government assistance,using standards such as Imputability Test and Market Economy Operator Test to target the indirectness of aid behaviors.The analysis should focus on market behaviors such as direct investment by the government or the state-owned asset management department,equity acquisitions,and investment or mergers and acquisitions by state-owned enterprises.At the same time,we should be sure of that the Aid that meet market economy conditions could be exempted on the basis of the reasonable principles of the antitrust law,combining relevant standards with specific analysis of the rationality of Government Aid behaviors.The first chapter of this paper mainly introduces the composition and identification of Government Indirect Aid.Then it will analyses the indirectness and main types of indirect assistance behaviors on the basis of understanding the constituent elements of Government Aid.The second chapter focuses on the analysis of the necessity of regulating improper Government Indirect Aid behaviors and the necessity of regulation,after elaborating on the distortion of improper behavior to the market competition mechanism.Moreover,from the value pursuit of antitrust law and the regulation of government anticompetitive behavior,it is necessary for the antitrust law to take on the main tasks to regulate improper Government Indirect Aid behaviors.The second chapter will also analyze the specific standards and exemption mechanisms that regulate improper Government Indirect Aid behaviors by comparing the relevant contents of the EU State Aid Control system with reference to comparative studies.The third chapter focuses on analyzing the deficiencies of regulating the improper Government Indirect Aid behaviors under the current anti-monopoly law system in China and puts forward specific suggestions for improvement.On the basis abovementioned,the last part of this paper will expand the regulatory system,including strengthening the supervision of state-owned assets management,strengthening the competition assessment of the market action of government,and attaching importance to the cultivation of the competition culture of the whole society,so as to truly establish and adhere to the basic status of competition policy so that the intervention and participation in the market of government can be more legitimate and reasonable.