This paper aims at clarifying the significance and the incompleteness of the educational legislation established by Education Reform Act 1988, which the author calls Thatcherism Educational Legislation, after reviewing its specific character. The Education Reform Act is the materialization of Thatcherism, which is the combination of neo-liberalism and neo-conservatism, because the administration of the public education, and the structure of the legislation provided by it is composed of the market forces measures based on neo-liberalism and the centralization measures connected with neo-conservatism. The former is characterized by privatization, the latter marked by state control. The market forces and the centralization are logically contradictory to each other. Therefor, it can be said that the specific character of Thacherism Educational Legislation consists of the contradictory structure of its policy system. This contradictory structure is needed to cope with the necessity for solving the problems in the public education linked with the social and economic crisis which is a result of the pursuit of the welfare state policy line. The market forces measures and the centralization measures are complementary each other and are compatible in terms of their function to satisfy all sorts of need in the administration of the public education under the liberal democratic state system. It is necessary for the liberal democratic state to combine the market forces measures with the centralization measures to administer the public education system in a effective and democratic way in order to improve the level of educational services. However, Thatcherism Educational Legislation strongly influenced by "product-consumer model" has been beset with various kinds of probrem since its enforcement owing to the lack of the due consideration necessary for satisfying all sorts of need in the public education system in well balanced condition. It seems to us that it is necessary to reevaluate the policy line and the measure for the educational administration which Thatcherism has abandoned in order to overcome the incompleteness of the Legislation.