Study Of The Influences Of Relaxing Government Regulation On Chinese Telecom Market

The paper discusses the influences of relaxing government regulation on Chinese telecom market. It introduces the process of government regulation reforms and makes comparison with foreign countries, and then empirical analyses are followed on two levels. First, it illuminates the market structure changes of Chinese telecom industry after regulation reforms by charts and HI index used in industrial organization analysis; second, it tests the effects of regulation reforms on the development of telecom market with regression in econometrics. It is proved that the market structure of telecom industry has been improved, that is, from monopoly to elementary competition, while subdivided operation markets are still oligopolies; and that telecom regulation reform, as an activator, has promoted the development of telecom market.Therefore, Chinese telecom regulation reforms have made good results on the whole, but further reform is necessary. Relaxing regulation and introducing competition is the trend of reform, which will be favorable for the form of an effectively competitive market and accelerate the development of telecom industry.