Study On The Incentive And Constraint Mechanism In The Agent Construction System Of The Government Investment Projects

Along with the in-depth reform of investment, the government investment project's management model has gradually transformed from the gradual integration management model to the separation management models. Ministries related to construction as well as some local authorities carry on some beneficial attempt to the management pattern of government invest project. On July 16th 2004, the State Council promulgated the "decision, on the reform of investment system", clearly stating" strengthen government management of investment projects to improve the implementation of the construction of non-operating "and" government to expedite the implementation of investment projects with agent construction system that is choosing a professional company by tendering for the project management to implement strict control of the project investment, quality and date and the construction completed will be transferred to the users "To the experimental units of agent construction system for government investment project in many areas, this measure will undoubtedly have remarkable help for the development of agent construction system. Therefore, the agent construction system is applied formally on behalf of the management model of government investment projects in the field of construction management.The agent relationship which is between the owner and agent project company, involving the risk of moral hazard and adverse selection caused by asymmetric information distribution of contract performance, will reduce the effect of the agent construction system. The key of agent construction system are design and innovation of principal-agent system by applying incentive and restraint mechanisms. So in this paper, a set of incentive and restraint mechanisms is established to reduce the beneficial distance between the owner and the agent project company. The application of incentive and restraint mechanisms not only enhance the management and antirisk ability of the project, but also help improve the benefit and efficiency of the investment. As a special significance, it has practical values. This paper is made up of five parts. In the first chapter, the problems of research are put forward. In ChapterⅡ, the necessary of incentive and restraint mechanisms applied in the agent construction system is summarized. In ChapterⅢ, the model of incentive and restraint mechanisms in agent construction system is established and the framework of incentive and restraint mechanisms is designed on the basis of the game theory and the agent theory. In ChapterⅣ, incentive and restraint mechanisms are used to compare two mainly agent models of construction system. In ChapterⅤ, the research conclusion of this paper is totally summarized.