Economic Analysis Of The Organizational Structure Of China's Government Procurement

This paper focuses its attention on the exploration of the specific problems and general trends facing the organization structure comparison and institutional innovation of the government procurement in China with the economic globalization and China's entry into WTO as a backdrop. With the nature of the economic globalization and the principle the liberalization of trade of WTO as a starting point, this paper dwells upon the international pressure faced by the system of government procurement in China. And the pressure is one of the important motivations which produce the organization structure comparison and institutional innovation of the government procurement in China.From 1990s, collective procurement mode can not form an effective and stable system all the time in China. Author believes that monopolistic organization under such mode is the main reason for low efficiency. China has experienced the large social and economic transformation these years and at the same time it is the period that different parties with its own rights conflicts during the government, enterprises and individuals, which means that properly arranged government procurement institutions both are good for the transformation of government from management-oriented to service-oriented and do benefit to increase revenue and to reduce cost under the new circumstance of structure change. To reach such aims, the paper tried to develop new ideas and methods suited to China institutions under the sketcher of industrial economics and encourage theory. In doing so, government procurement is a problem of mechanism design to research the best structure and mutual behaviors, using the information, constraint and tools available about the market parties.Based on the economic theories and tools of public goods, market failure and government failure, public finance, entrustment-agency, game theory, international trade, rent-seeking and credible commitment, the dissertation makes a comprehensive and systematic analysis of government procurement, including the connotation and scope, size and structure, resource allocation effect, reason of rent-seeking and discriminatory procurement. The main contents of the dissertation are as follows: Chapter 1 covers the background, basic concepts and main contents of the topic of government procurement research. Chapter 2 deals with the formation and development of the government procurement institution in China. Chapter 3 analyses the organization structure change of government procurement of our country to find some reasons of low efficiency. Chapter 4 comes down to some corruption problems during the government procurement using the theory of public choice and new institutional economics. Chapter 5 uses some models to calculate the benefits and costs of different modes of government procurements. Chapter 6, furthermore, gives out a series of adjustment path to optimize the organization structures of government procurement under the circumstance of information-based. Chapter 7 puts forward of international comparisons and makes some suggestions.The paper reaches the conclusions based on the facts such as information-based and integration-based and something like that. Organization change and institutional innovation can be forced during several approaches as follows. One is to enhance information-based management level. Two is to improve law system of e-procurement platform. Three is to emphasize the supervisor of government procurement. Last but not least, the main orientation of organization structure reform is to delayerin, networking, collaborative and marketization.