Markets will not sit back and let go, they will react to them as they should. However, the economy of the natural nature of the market makes it difficult to correct the failure effectively. Therefore, it can also be regarded as the inherent defects of the market, that is, the normal operation of the market will also produce such results: negative externalities, production of public goods, monopoly, information asymmetry, etc. These are the means that the economic man needs to use in pursuing the maximization of personal interests. There is nothing the market can do about it.
It is better for the market itself to adjust itself to the problem it cannot solve but to seek external forces. Such forces must be strong enough to force a correction of market failures, as only state power can; At the same time, such a force must be advantageous, methodical, and do not infringe upon liberty and rights. Only the legal rights of a state under the rule of law can do that. The intervention of economic power has a legal and reasonable basis, but it also requires favorable and restrained conditions. The so-called benefit refers to the effectiveness of economic power to intervene in the market, which can make up or avoid market failure and protect the market. The so-called section refers to the constraint of economic power to intervene in the breadth and depth of the market, that is, from the beginning of market failure to market recovery, and to abide by the cost and benefit principle of economic development, so as to save costs and improve benefits. If the costs of intervention far outweigh the potential benefits, be wary.
Market economy is a rule of law economy, and one of the basic contents of the rule of law is "power control". The economic power to intervene in the market should also proceed from the idea of "power control" to ensure the rational, beneficial and effective implementation of economic power.
Power cannot be universal; everyone has the right. The characteristics of economic power also require that the subject of power should not be the general subject of state power, but should be the subject of economic power granted by national laws or authorized by authorities. We must distinguish the two roles of the subject of administrative management and the subject of economic management and implement effective economic intervention. Subject statutory also requires the relative exclusivity of economic power subject, certain economic power can only be exercised by certain legal subjects, which is not enjoyed by other state organizations. The monopolistic power of this subject is conducive to determining the respective roles of various departments in economic intervention, performing their own duties and taking their own responsibilities.
The intervention of national economic power into market activities must conform to certain value, that is, the value target set in advance by law, and the intervention out of this legal value should be illegal. The value of law has different levels and different directions, as the legal value of regulating national economic power, the elected efficiency. Economic power interferes in the market to pursue efficiency, but also to limit efficiency. Power intervention is not effective intervention, market efficiency is effective interven
