Why are there many monopolies in China?

That's all state-owned China's system stipulates that some heavy industries are monopolized by the state. Private people can't do it. It is easy to form a chaebol and affect the development of the country.

A monopoly enterprise is an enterprise that enjoys the policy protection given by the state, thus controlling social production, manipulating and monopolizing the market. There are also some monopoly industries in China, such as salt industry (cancelled), tobacco, power supply, finance and real estate. These industries still have the flavor of planned economy. They are exclusive and ordinary people can't live without them. Product is your only choice.

Prevent monopoly

No matter in theoretical analysis or social reality, the monopoly of public enterprises has caused many disadvantages. Therefore, introducing competition mechanism into public utilities and breaking the monopoly of public utilities have become the content of reform in many countries. In the process of establishing and perfecting the socialist market economy, China's legislative and administrative departments have also taken measures to regulate the monopoly behavior of public enterprises. According to China's national conditions, the anti-monopoly regulation of domestic public utilities should focus on the following aspects: price supervision, ensuring interconnection and prohibiting cross-subsidies.

restrain

The traditional anti-monopoly law lists the monopoly of public enterprises as an exception, and strictly controls the operators only in terms of service fees and prices. However, with the development of contemporary anti-monopoly law, public enterprises are increasingly bound by anti-monopoly law. China is formulating anti-monopoly law, in which the anti-monopoly regulation of public enterprises is an unavoidable major issue. Here, the author adopts the analysis method of law and economics in order to construct the legal system of anti-monopoly regulation of public enterprises in China.