The Research On The Reform Of Government Regulation Of China's Natural Monopoly Industry

Traditional regulation theories believe that natural monopoly industry has the characteristics of scale economy, scope economy and cost of subadditivity, the government needs to regulate them strictly. However, since the 1970s, the theories of frustrated regulation and the development of competitive market can pose a challenge for the theory of traditional government regulation, with the technology progress and market demand expansion, natural monopoly borders have changed, natural monopolies tend to weaken, it requires the ways and means of the government regulation to make corresponding adjustments. On the other hand, the development of the theory of natural monopoly leads to the foreign natural monopoly industry deregulation and the introduction of competition mechanism, the developed countries have being to reform government regulation in the natural monopoly industry since the 1980s, regulation reform has greatly promoted the development of the natural monopoly industry, achieved remarkable success and improved the level of social welfare. From the experience of government regulatory reform in the developed countries, they reform mainly through deregulation, privatization of property rights and introduction competition mechanism in non-monopoly business, and through stimulating regulation, price cap regulation in natural monopoly business.As for our country, natural monopoly industry plays a pivotal position and a basic role in the development of overall socio-economic. However, most of the natural monopolies exist many problems, such as body bloated, low efficient operation, and poor quality of services, it does not play the potential economies of scale properly, the high cost of products or services. The main reason is administrative monopolies in the era of the planned economy and leads natural monopolies to unclear line between the function of the government and enterprise and the lack of the pressure of external market competition, natural monopoly industry still operating under the inefficiency of the government regulation.At present, our country is being the crucial time of economical reforming, the regulation reform of the natural monopoly industry is important content of the socialist market economy organizational reform, it further adapts objective request of the globalization tendency in our country economy. Under the accelerating situation of the economical globalization tendency our country's opening to the outside world, the reform of economic system and the readjustment of the economic structure all enter to a new historical stage. The natural monopoly industry faced with the domestic and foreign enterprises' steep competition and more stern challenge. Compares with the competitive profession, government regulation reform of natural monopoly industry is relative lag, it displays mainly the aspects of regulation organization, regulation principle and regulation method, and so on. Our country natural monopoly enterprises must obtain the survival and development environment and carry on the government regulation reform. At the same time, we may profit from the successful experience of the natural monopoly industry in the developed countries, according to the actual situation of government regulation in our country's natural monopoly industry, we need construct the pattern of the government regulation reform and promote regulation reform.As for our country's economic system reform, regulation reform of the railway is the important constituent in the state-owned enterprise reforms, it is also one of focal point questions which people always pays attention to. Since the 1990s, along with the reform of the traditional...