This article aims to use the term “pressurized system” to explain the formation of dominated relationship between township town government and village self-government—how do the obligatory administrative system inhibit the operation of village self-government system and make it unable to elaborate institutional influencingeffect? This article discusses: 1. The dominated relationship between township and village is substantially “political contract system”; the design of responsibility system for attaining targets and “appointing cadres on the basis of their performance” will exclude the reasonable allocation of power between the state and peasants. 2. The relationship between township and village under pressurized system produces various of defects, such as swelling the organization of township government, aggravating the burden of farmers and providing opportunities for corruption. 3. Peasants use the strategy of recall and appeal to boycott township government excessively intervene the operation of village self-government system. 4. Discussing the interaction of rural tax reform and village selfgovernment. Finally, the author points out that transformation of the legitimacy for township government will become a good reforming measure to accommodate the dominated relationship between township and village—even the Chinese peasants must exceed the level of direct election for township magistrates, so it will really restructure the relationship between the state and peasants.