A Study Of Natural Monopoly--Rethinking On The Base Of Government Reputation

Traditional natural monopoly theory used government regulation of natural monopoly industries as the answer to the question of "market failure", which ignored that government as a link of trust-agency was influenced by some condition such as many-faceted aim function, uncompleted information and the defect in its public decision theory etc. Then under the lack of rigid restrain, the action of government regulation maybe produce some negative influence including the question of dynamic consistency. Therefore, in a long time, the neglect of correlation analysis in government reputation degree was also one of the reasons which caused the micro-regulation failure . China, an system-transforming country, in the course of transformation from planned economy system to market economy system, the phenomenon that government broke its promise would emerge inevitably because of inertial system, imperfect legal system and gradually reform model etc. Considering the government reputation, the micro-regulation research focused on natural monopoly will get different conclusion from traditional regulation theory. In this way, we can't neglect the analysis to the government reputation during the research of natural monopoly regulation.In view of above-mentioned thought, the writer starts this article with government reputation and makes the theory research with theoretical analysis and positive analysis.The article is made up of the four following parts: The first chapter is the introduction of this article and mainly comments on the achievement and literature of internal and external theory in natural monopoly regulation, then based on it draws forth the research visual angle: government reputation. The second chapter first defines the conception of reputation and government reputation, then, makes an analysis to its character and effect. In this part, the writer points out that the government reputation degree is one of the prerequisites for the government to exercise its economic functions and the lower government reputation degree will inevitably result in the micro-regulation failure. The third chapter is mainly empirical analysis. From building the government reputation model and the running of themodel, the standpoint of chapter two is proved. In the fourth chapter, the writer puts forward the following policy and measures so as to enhance the government regulation effect to the natural monopoly: Arise the government reputation degree in order to make the promise in respect of government micro-regulation credible, that is to say, reinforce the government institution restrain from improving legal construction; reform the administration monopoly and realize the specialization and independence of the government regulation department.