Abstract: The enclosing can be interpreted in public economic policy by Coase-the orem. Its direct motive comes from price fluctuation of land products and perfor mance differences of different land managing methods, and the root motive comes from land resource allocation efficiency. Whine it has increased land resource a llocation efficiency, at the same time it has also destroyed social fairness. Th is gives us much food for thought for China's related public economic policies i n the stage of transformation, that is to say, if the cost and revenue of societ y cannot be shared with fairness, it will change into a hindering force for the construction of a harmonious society. Improving public economic policy is the in evitable choice for propelling social development with a harmonious combination of efficiency and fairness.