Research on the Mechanism Design of Public Sector Collusion Based on Implicit Incentive Theory

The paper introduced implicit incentives to collusion theory,constructed a government supervisor executor hierarchy agency model,and analyzed the impact of reputation level and supervision strength on collusion contract structure.The results suggested that the more the public departments concerned about their reputation,the lower the side-contract transfer payment efficiency,and then the more unlikely the collusion would happen.The higher the supervision strength,the higher possibility that collusion may be found,and then the more unlikely the collusion would happen.This correlation provides a new solution for how to prevent the happen of collusion in the field of public sector.