Abstract

The relationship between the state and property determines a country's long-term economic performance. Born in state intervention in property rights within the exclusive power of the mandatory requirements, first, to maintain the power of exclusive property rights through various social mechanisms, but the evolution of property rights arrangements of this power will eventually be provided by the state. However, the State become the legitimate monopoly of coercive power by then, it may be to maintain property rights, promote economic development; also be against the property, causing a recession. Therefore, the effective constraint on countries to ensure sustained economic growth is a basic condition. However, the effective binding property of the state depends on the social structure. The relationship between State and property can determine the long economic performance of a country. The root of government getting involved in property right is the exclusiveness and compulsory nature of property. Initially, it defended itself through every possible social institution; but at last with the evolution of properties, the state became the legal defender. Anyway, although the government protects property from violation and promotes economic development, t misappropriates properties and might cause economic stagnation. Therefore, to restrict government activities in this area may be imortant to guarantee continuous economic growth. The effective restriction through property will depend upon social structural transition