Economic Transformation and Incentive Mechanisms: Contract Design in Government Governance and Private Transactions

Author: Wang Xiaolong
Publisher:
Publish Date: 2005-05-01
Features: It needs to be emphasized that the original intention of setting the research subject of this book is to hope that the research results of this book not only help to understand some phenomena in China's economic system reform, but also provide specific mechanism design proposals for various decision-making entities. This book takes China's institutional change as the research background, so when studying incentive mechanism design, it uses social welfare maximization as the efficiency standard, especially starting from whether it helps to reduce the "cost of economic institutional operation" to study contract governance issues. On the one hand, this book studies from the perspective of micro contract governance how to design specific agency contracts to address certain opportunistic phenomena in China's economic transformation, in order to improve the operational efficiency of the entire economic system; on the other hand, it treats the entire market transaction environment of the economy as a whole to study how the total agent of society designs various economic mechanisms around the process of market transaction contracts, so that members of society can achieve the goal of pursuing personal interests while exactly achieving the goal of social total welfare.