A Study On The Land Policy To Regulate And Control Marco-economy During The Transitional Period

Since the mid-1990s of the Last century, China's industrialization and urbanization process have accelerated and entered into a rapid socio- economic development stage. Under the condition that investment has become the main engine, the rapid economic growth inevitably evoks excessive expansion of investment that leads to the national economy growing too fast and structural imbalance. The macroeconomic regulation and control in this period is to achieve the balance of total social supply and demand, also to adjust and optimizw regional industry structure, to promote the healthy and sustainable development of national economy. Since entry into the new century, facing with a complex macro-ceonomy situation, central government actively make use of the land policy to regulate and control the macro-economy, so that it has been serving as another macro-control policy except fiscal policy and monetary policy. On the study of land policy to regulate and control the macro-economy, there are obvious deficiency and blank space either the overall research level or the specific content. It is undoubtedly of great significance to strengthen the study of this topic to rich macroeconomic adjustment and control theory, and to guide the macroeconomic regulation and control of China.Based on the study of land policy serving for regulating and controlling the macro-economy, and against the background of transformation of China, using comparative analysis, analogy, game analysis and others, along the basic logic from general to sub, this paper reveals the fundamental basis of land policy to regulate and control macro-economy from the productivity elements and social system, and then discusses the conduction channels and its mechanism firstly. Next, it expounds the objectives, principles and means of the land policy to regulate and control macro-economy from the practice and operation. All these are the general part of the study. On the basis of the overall conclusion and practice of macroeconomic regulation and control since 2003, this paper separately discusses the basis, mechanism, performance and also brings forward Countermeasures in the three major fields, which is the total national economy, industrial structure and coordinated regional development. These are the sub-part of the study. Finally, it is also looks forward to the trend of land policy to regulate and control the macro-economy from the view of history. The main conclusions of this study are as follows:To begin with, Land use policy serving as an important tool to regulate and control macro-economy, is just a particular phenomenon happening in China in transitional period. At present, China is in a critical period to promote rapid industrialization and urbanization, to achieve the transformation, in which the agricultural society will be substituted by industrial society. During this period, the land has being become one of the most competitive factors that Chinese government can bring into play to promote economy and society development, and this also provides the possibility for land policy to sevre for regulating and controlling Chinese macro-economy. While China's economic system is undergoing transformation, that is, planned economy is being replaced by market-oriented economy, but not yet completed. So the production factors, especially for land resources in public ownership system, which allocation mechanism has been beyond the dominant administrative allocation, but not entirely on the market. The state still has the absolute controlling right for the allocation of land resources, and this creates the feasibility for the land policy to sevre for regulating and controlling Chinese macro-economy.Second, during the transitional period, Chinese economy is facing the historical task to accelerate development and catch up with and surpass the advanced world level, therefore, the most important task of land policy in the macroeconomic regulation and control is to achieve coordinating, healthy, stable and rapid development of the national economy. To this end, the land policy should not only, through controlling land supply, regualte the total investment volume to maintain a reasonable rate of economy growth, but also, through controlling the industrial structure and regional distribution of land supply, realize the adjustment of the industrial and regional economic structure, so as to promote economic healthy, coordinating development. The land policy sevring for macroeconomic regulation and control can also promote changing economic growth mode and promote economic sustainable development.Third, strict land administrative approval examination and improving land supply management are the basic tools for the land policy to regulate and control the macro-economy. Because the market-oriented reform of land resources allocation has not yet completed, tightening up land administration is still the effective means for the land policy to regulate and control the macro-economy. Aadministrative approval can effectively control the overall expansion speed of land for construction, condition industry sites and promote steady economic growth and industry restructuring, while guided by division of the main body functional area, it can readjust and optimize the spatial distribution of land resource and promote coordinated regional development in China. It is necessary to accelerate the reform on implementation mechanism of the land use regulation to adapt to the market-oriented reform, so as to regulate land supply more effciently. In addition, we should also actively carry out the land tax reform to adjust the demand for land and curb excessive demand for investment fundamentally.Forth, Land ration and the land price are two basic approaches for the land policy, which is "administrative" and "market-oriented", to regulate and control macro-economy. Land ration, mainly through allocation the planned targets, achieve the control to the national volume of construction sites, industrial structure and regional distribution, and then achieve the control to the total national economy, industrial development and regional development. With the development of land market, land price plays an important role for land ploicy to regulate and control the macro-economy. Price increase, as a result of tightening land supply, can not only effectively control land-related investment, but also help revitalize the idle land and improve the utilization efficiency of constructional land, so as to ensure the national economy to run smoothly and promote economic growth intensively. During the transitional period, it is necessary to strengthen coordination and cooperation of the two mechanisms, and bring into full play the role of regulating and controlling the macro-economy for the land policy.Fifith, land market is the system infrastructure for the land policy to regulate and control the macro-economy. The macroeconomic regulation and control should be based on the market mechanism, so is land policy. During the transitional period, one of the important forces that pull the excessive growth of investment is the low-cost production elements. By constructing a perfect market mechanism, prices can objectively, truely and sensitively reflect land supply and demand conditions, timely and effectively guide the demand for land, thus reasonably guide investment, promote the intensive land use and conservation, and promote the change of economic growth mode. For China shoud take the land policy serving for regulating and controlling the macro-economy as an opportunity to accelerate the reform of land market, and then promote reform by regulation and control, promote development by reform.Sixth, coordination between the land policy and other control policies, such as industrial policy and monetary policy, is the effective measure to govern macroeconomic imbalance in transitional period. The results have suggested the effectiveness of the land policy to regulate and control the macro-economy since 2003. However, on the one hand, with the development of market-oriented economy, comparing with the land policy, fiscal policy and monetary policy will be the major regulating policies, and will play more and more important role in regualtion and control. On the other hand, the limitations of the land policy to regulate the macro-economy also decide its non-dominance in macro-regulating policy system. Therefore, a reasonable position to land policy as regulating policy, that is participation status, should be set. It is necessary to ensure coordination between the land policy and fiscal policy and monetary policy to regulate investment and control the macro-economy. Meanwhile, austerity land policy should coordinate with tight monetary policy and fiscal policy to play a greater regulating power.And the last, with the success of market-oriented reform, the planned economy to the characteristics of the administrative examination and approval will fade gradually, and land market will improve in years, by that time, the land policy as an important tool to regulate and control the macro-economy will fade away. However, this does not mean that macro-control function of the land policy will be end. The manifestations, mode of action and intensity of land policy to regualte and control the macro-economy will undergo significant changes, along with reform of land policy from the one that is administrative examination and approval and "administrative" and "market-oriented" to another one under strict land use regulation in complete market.