Study On Government Regulation Of Basic Industry

In industrial structural system, basic industry is the industry that offers basic condition for the development of other industries and offers service for the most industries and is a postulate that a society needs to survive and development, the development level of basic industry is an important sign of measuring national comprehensive strength and modern level.Because basic industry has the economic features such as the natural monopoly and external effect asymmetrical information , public goods, to multiply economic efficiency and to defend the stability of society and to realize the biggest welfare of society, even if in western country that advocating free market economy , government implements various measures to regulate the management and the production of basic industry, not only Our country is the country that has the tradition of government intervention economic campaign ,but also because of the present system of socialist market economy of our country is from the planned economic system of the high concentration beginning to establish when country come into existence. This point has obvious difference with western market economic national. Our government referring to the industrial theory and practice experience of western government regulation on basic industry, should consider this particularity carefully.According to the general rule of basic industrial development and the basic principle of economy, this paper studies the basic problem of government regulation on basic industry. At the beginning, from the public valuation of government regulation, article has elaborated the basic concept content and reason and method of government regulation .secondly it looked back the practice and analyzed effect of foreign government regulating basic industry. Thirdly, article has summarized the defect of our government regulating basic industry. After making reference to the experience of practice and the theoretical research accomplishment of domestic and foreign government regulating basic industry .it has put forward the guiding ideology and principle of enforcement and specific measure for innovation of regulation of basic industry.