Research On Principle-Agent Problem Of Agent Construction Method

On July16,2004 the State Couneil announeed"The deeision about reform of the investment system, whieh points out that it is need to reinforce to government investment projeet administration and to improve the construction methods. It also points out to accelerate the non-profit making government investment project with the ways of"Agent Construction Method (ACM)", Further study about related theory of"Agent Construction Method (ACM)",advancement the development about"Agent Construction Method (ACM)"already become the important subject in domain of government investment project. In this context, how to reduce the risk of"Agent Construction Method (ACM)"by establishing scientific incentive and restraint mechanisms is becoming an issue worthy of studyFirstly, this article discuss about the concept of"Agent Construction Method (ACM)". By compareing ACM to the other construction method to got the key innovation of ACM.Secondly, for the Construction Agent System for the kinds of adverse selection problem, the comparison of the foreign government procurement projects of the successful bidder with the way the existing successful domestic Construction Agent System, the preliminary work on behalf of construction, building and construction period, the entire process of building the successful application form Was discussed. Third, the comparison of foreign investment projects with the Government of China Construction Agent System bidding supervision mechanism. Put forward the bidding suggestions for improving Construction Agent System.Third, the Construction Agent System for the agency risk, the paper made from the perspective of three solutions: (1) contract incentive mechanism (2) to improve the system to improve information asymmetry (3) reputation incentives. Construction Agent System of a model agency and the information were symmetric and asymmetric information both cases, government investment and revenue generation were built, made of the existing contract to improve the incentive mechanism proposal. Through the reputation of the model analysis shows that the construction of strategic options. On this basis, to ensure that the reputation mechanism play a role in the improvement of measures.Finally, the view of the current contract conditions and the status quo, "the Beijing municipal government investment in building projects commissioned by the contract" as an example, the existence of the problem and the conditions of the contract recommendations for improvement. Once again, from the policy level, put forward the improvement suggestion.