Ultra High Price Behaviour Of Anti - Monopoly Law

The regulation of excessive pricing, a microcosm of competition policy, encapsulates issues such as the goals and underpinnings of the anti-monopoly system, the analysis of abuse of dominant position and the role of government regulation, etc. Economic theory believes that excessive pricing makes a wealth transfer from the consumers to the monopolist, and it also creates a deadweight loss in societal resources. That's the economic reason why the excessive pricing be regulated by the anti-monopoly act. But the anti-monopoly regulation of excessive pricing is highly controversial both in relation to issues about "whether" and "how" to regulate the excessive pricing. And the regulation of excessive pricing might have some undesirable side effects, such as holding back the incentives to engage in competition, weakening the competition and punishing the efficient firms and so on. Additional, the regulation may cause market failure. To expatiate these issues, the dissertation proceeds as follows: 1. Applying economic principles to excessive pricing; 2. Makes an assessment of excessive pricing; 3. Compares excessive pricing as an anti-monopoly offense in the U.S. and the EC; 4. How to regulate the public- utility's excessive pricing; 5. Analyzes the approaches to regulate excessive pricing by the future Chinese Anti-monopoly Act. At the end, this dissertation concludes that it's not the anti-monopoly regulation of excessive pricing but the prohibition of artificial barriers and the introduction of competition into the monopoly or oligopoly market are necessary. However, it's acceptable that the future Chinese Anti-monopoly Act may take a restricted regulation to excessive pricing considering the complicated monopoly facts in China.