Theory and Practice of Control of Natural Monopoly

We draw a conclusion that developed countries'policies on natural monopoly have alternated between control,deregulation and re-control by analyzing the meaning of natural monopoly and the characteristics of technological economy and studying the practice of natural monopoly in developed countries. Control or state ownership are two institutional choices of developed nations to cope with natural monopoly.we should not rashly resort to break-up measures to combat against monopoly in industries of natural monopoly.