The Study on Supervision Institution Incentive System Based on Asymmetric Information
Cao Yugui,Yang Zhongzhi
Strategic Study of CAE ›› 2005, Vol. 7 ›› Issue (10) : 69 -72.
The Study on Supervision Institution Incentive System Based on Asymmetric Information
The principal-agent model between employers and engineering supervisors is established, considering such factors as the scale of employers’ investment, special character of engineering supervision and exogenous random variable and its influence. And the influence of these factors on the sensitiveness of compensation performance under asymmetric information is analyzed. Based on the result, factors to be considered while establishing the incentive system of engineering supervision are put forward.
employer / engineering supervision / principal-agent / incentive system
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