Study of the Respective Function and the Coordination between the Government and the Market

The relationship between the market and government is the core issue of the reform. This article attempts to discuss the market position, the role of government and how to form a pattern with organic unity and mutual promotion. The market’s adjustment is the first and the decisive; the government's macro control is the second and the auxiliary. The government needs to eliminate some intervention from the market and do something in solving the market failure.