Study Of Monopoly And The Legal Regulation Of Civil Aviation Industry

Law regulation is often used to interfere with aviation's market monopoly. Many regulation reforms began with aviation industry. However, in aviation industry of China, administrative monopoly often colludes with natural monopoly. Thus, How to regulate the aviation monopoly by law, how to protect fair competition, have theoretical and realistic significance for civil and world aviation development.The main body of this paper falls into 4 parts.Part one gives a general theory of economic and technological features of civil aviation industry.Civil aviation industry is often regarded as natural monopoly and only economy of scale can improve economic efficiency. However, the author holds that anti-monopoly and economy of scale are not contradictory.State-owned and monopoly are the most important features of aviation industry. So the emphasis of this paper falls into the analysis of aviation monopoly.Part two is the current conditions of domestic aviation industry and comments on aviation regulation by law. Civil aviation industry faces with many problems, which link with monopolistic system, especially administrative monopoly. Under this conditions, enterprises of aviation industry run by private citizens often suffer unfair treatment and low returns. Moreover, the absence of law regulation and role conflicts of regulation organization become the barrier of aviation development.Part three is anti-monopoly aviation reform patterns of foreign countries and their use for reference. This paper emphasizes on analysizing the anti-monopoly pattern of USA. U.S.A has not only its civil aviation industry of the greatest scale in the world, but a complete system of law regulation. Moreover, anti-monopolistic legislation of U.S.A is the earliest, the most thorough and the most representative. Its law enforcement system runs perfect and its law enforcement agencies have strong independent character and high authority. The opening of USA airline market and the monopoly of RPC aviation bring the opposite economic outcome. Different enterprise merging pattems lead to opposite enterprises' development prospect. Our Country should draw on the experience of USA's anti-monopoly law regulation system.Part four' content is making competition law of aviation industry perfect. It is the key body of this paper. First, law system of regulating monopoly must be built, especially the anti-monopoly law should be publicized soon. Second, regulating administrative monopoly is the key measure to break the ice of aviation monopoly, because administrative monopoly is much serious than market monopoly in our country. Third, competition system should be built, including breaking the oil, material and market entering barrier. Our country should make the platform of fair competition where state-owned and foreign and private citizen enterprises are equally treated. The forth, plane ticket prices must be regulated by law. In the substantive law sphere, we can strengthen the legal rights of supervising agencies. Meanwhile, in the field of procedural law, we must make the price hearing institution perfect, so as to play a key role of mass supervision. The last part is the law regulation of aviation enterprise amalgamation to avoid the conditions of monopoly. In our country, enterprise emerging is often promoted by government but not by the force of market competition. This phenomenon is abnormal and must be avoided.In this paper, the author holds that we must set up the competition system in the aviation industry. It is not only the reason of industry development but also the need to meet the challenge coming from international aviation market. So it is our time to pass the anti-monopoly law quickly so as to give strong law regulation to aviation industry.