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Scientific journal
Научное обозрение. Экономические науки
ISSN 2500-3410
ПИ №ФС77-57503
ISSN 2500-3410
ПИ №ФС77-57503
INSTITUTIONAL GAP IN THE DEFINITION OF NATURAL MONOPOLY AS AN ECONOMIC ENTITY
Igoshina D.R. 1
1 Vladimir branch of the Russian Academy of national economy and state service under the President of the Russian Federation
153 KB
There is the analysis of existing definitions of natural monopoly, on the basis of which the gaps between the statutory definition of a natural monopoly and natural monopoly as an economic entity in the economy. Currently, natural monopoly in various sources is defined as a market situation, the industry, the kind of absolute monopoly, the state of the commodity market. The ability to save on production scale is the only thing that unites all definitions. However, no one single definition absolute doesn’t need to necessarily affect state regulation of those entities, and doesn’t define the boundaries of this regulation. Elimination of institutional gaps in approaches to the identification of a natural monopoly is necessary for selection of methods for the reform and regulation of these economic phenomena. In addition, the formal definition of a natural monopoly doesn’t contain provisions for the introduction of competition in natural monopoly markets.