Disscusion on the Market System and the Management Responsibility of the Government

In social of market economy,the market is earlier than macro-control.So concept that Macro-control is higher than market supervision is wrong.The real economy market includes product market and factor market;the product market trades output products while factor market trades input products.What product market carries on is exchange of currency with product itself or its property rights;while in factor market is exchange of currency with product factor use.The demand in product market is primary need,while demand in production-factors market is derivative demand.Capital market is located at intersection of production-factors market with hypothesized economical market.The argument of the capital is higher than commodity management is wrong.The paper argues that land resource departments must face both production-factors market and product market,which are often confused until now.The paper points out that disadvantages of land resource departments lie in construction of market system.If we are divorced from this microscopic foundation to discuss and participate in macroeconomic regulation and control,it will cause ideologically confused and unsound work style.