We need to improve the supervision approach to place more emphasis on the rule of law, fairness and accountability. The current practice of market supervision entails inspection of too many kinds without clearly defined rules, adding burdens to enterprises and creating room for rent seeking. On the other hand, market behaviors that should be subject to supervision by the government are left in benign neglect. The right approach to supervision requires both strictness and simplicity. The government should minimize intervention in people's lives and put in place a sound legal framework and proper and effective rules, procedures and standards for market supervision and publicize them fully so that market players will know where the line is drawn and carefully observe it. By so doing, the discretionary power of regulators will be slashed. Equally important, the government must carry out supervision in accordance with the law, maintain and safeguard the market order for fair competition. To use a sports metaphor, the government should be a good "referee" - leaving those well-behaved players alone while giving a timely yellow-card warning for minor fouls or a prompt red card for serious foul play. Needless to say, a referee should perform his duty faithfully and enforce the rules in a fair and just manner instead of being negligent or engaging in match-fixing. Regulators must be subject to supervision as well. Relevant information should be made public and a well-defined accountability system for supervision must be enforced.
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★ 披着狮皮的驴The ass in the lions skin
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2020-09-15
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