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Research of Legal Issues about the Auction Industry

Author: LiYing
Tutor: WangJiJun
School: Shanxi University
Course: Economic Law
Keywords: Auction Legal Regulation Unfair Competition
CLC: D922.29
Type: Master's thesis
Year: 2012
Downloads: 45
Quote: 0
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Abstract


With China’s rapid economic development, the auction industry also prospers. By2011, there are more than5,000auction companies, nearly ten thousand auctioneers in China. Auction as a good way to get the abject has been generally recognized. At the same time, a large number of acts of unfair competition also appeared in the auction, which need the government to rectify and regulate the order system of auction. Since1997, China’s Auction Law promulgated and implemented, legal regulation of the auction is still in the initial stage, the regulation could not cope with new situations in practice. New problems appear on the auction in the behavior of unfair competition, but the regulation is also a lack of clear and specific provisions. Therefore, based on reading books, historical analysis, comparative studying and investigation, this article concluded that the auction needs legal regulation. Based on the current status of the auction, the article analyzes the current "market failure" situation. Comparison of United States, Britain and Germany’s legal system, the specific measures on the auction in China put forward in the basic principles of legal regulation. This article wants to make the Chinese auction healthy and orderly.In addition to introduction and conclusion, this article is divided into four parts.The first part of this paper describes the relevant theory of legal regulation of the auction. It shows the fact that the auction is different from other special markets, including multiple competitive, public openness and asymmetric information. Then it describes the basic theory of market regulation, including market regulation of the objects, actions, and means, in order to lay the framework of analysis of auction.The second part of this paper studies the current situation of Chinese auction, including the imperfect legal regulation on auction, acts of unfair competition. According to the above situation, this paper tries to find the reasons, including the conflict of the concept of perfect competition in ideal market economy and the reality of asymmetric information, the pursuit of economic self-interest and the principal legal regulation of the social standard, the growing demand and auction Inadequate supply of professional services, the independence of market players and the order of the auction industry practices, the rapid development of the auction and the incompatibility of the legal system.The third part of this paper compares regulations of auction abroad, particularly the United States, Britain and the German. There are three aspects to introduce the requirements including market access mechanism, restrict on auction, the auction participant misconduct regulation. The paper then included that China needs to learn the contents of market access mechanism, restrict on auction, the auction participant misconduct from the above nationsThe fourth part of this paper puts forward some specific recommendations to improve the rule of the auction. For one thing, it is necessary to establish the basic principle of the auction such as the principle of openness, fairness and justice and the public interest. For another thing, under the above principles, the proposed measures should be adopted to strengthen the rule of law:Standard access to auction, expanding the scope of the auction, learning from foreign experience, adding secret buying, promoting honesty and trustworthiness, improving credit structure, implementing regulatory system of unfair competition, reducing the monopoly from administration, increasing self-discipline and supervision of the association of auctioning

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