scholarly journals Will Third-Party Treatment Effectively Solve Issues Related to Industrial Pollution in China?

2020 ◽  
Vol 12 (18) ◽  
pp. 7685
Author(s):  
Qiao Peng ◽  
Yao Xiao
Keyword(s):  
Local Governments ◽  
Industrial Pollution ◽  
Central Government ◽  
Replicator Dynamics ◽  
Evolutionary Game ◽  
Third Party ◽  
Environmental Services ◽  
Policy Recommendations ◽  
Trial Basis ◽  
Local Levels

China expanded the application of the third-party treatment model (TPTM) in 2017 for effectively tackling the issues related to industrial pollution on a trial basis, and the model could diversify the government’s toolbox for addressing industrial pollution. With multiple players such as local governments, polluters, and environmental services providers (ESP) involved in the TPTM, appropriate guidance and coordination among the three players are critical to the success of the TPTM. This study constructs an evolutionary game model for the three players to capture their interaction mechanisms and simulates the three-player evolutionary game dynamics with the replicator dynamics equation. The simulation results show that heavier penalties for pollution and lower regulatory costs incurred by local governments could effectively improve the performance of the TPTM. Moreover, although environmental incentives provided by the central government to local levels do not affect the ultimate performance of the TPTM, they do shorten the time needed for the effect of the TPTM to emerge. The study concludes by proposing policy recommendations based on these results.

scholarly journals Game Theory-Based Analysis of Local Governments’ Behavioral Dissimilation in the Third-Party Soil Pollution Control under Chinese-Style Fiscal Decentralization

Land ◽  
2021 ◽  
Vol 10 (4) ◽  
pp. 389
Author(s):  
Caihua Zhou
Keyword(s):  
Local Government ◽  
Soil Pollution ◽  
Pollution Control ◽  
Local Governments ◽  
Central Government ◽  
Fiscal Decentralization ◽  
Third Party ◽  
The Third ◽  
Party Control ◽  
The Third Party

The participation of a third party of the environmental service enterprise theoretically increases the level and efficiency of soil pollution control in China. However, Chinese-style fiscal decentralization may have a negative impact on the behaviors of participants, especially the local government. First, this paper conducts a positioning analysis on participants of the third-party soil pollution control in China and discusses the behavioral dissimilation of the local government under fiscal decentralization. Second, taking the government’s third-party soil pollution control as a case, a two-party game model of the central government and the local government is established around the principal-agent relationship, and a tripartite game model of the central government, the local government, and the third-party enterprise is designed around the collusion between the local government and the third-party enterprise. The results show that Chinese-style fiscal decentralization may lead to the behavioral dissimilation of local governments, that is, they may choose not to implement or passively implement the third-party control, and choose to conspire with third-party enterprises. Improving the benefits from implementing the third-party control of local governments and third-party enterprises, enhancing the central government’s supervision probability and capacity, and strengthening the central government’s punishment for behavioral dissimilation are conducive to the implementation of the third-party soil pollution control. Finally, this study puts forward policy suggestions on dividing the administrative powers between the central and local government in third-party control, building appraisal systems for the local government’s environmental protection performance, constructing environmental regulation mechanisms involving the government, market and society, and formulating the incentive and restraint policies for the participants in the third-party soil pollution control.

scholarly journals The Role of Social Media in Promoting Information Disclosure on Environmental Incidents: An Evolutionary Game Theory Perspective

2018 ◽  
Author(s):  
Shuang Ling ◽  
Shan Gao ◽  
Wenhui Liu
Keyword(s):  
Social Media ◽  
Local Government ◽  
Local Governments ◽  
Information Disclosure ◽  
Central Government ◽  
Media Use ◽  
Evolutionary Game ◽  
Media Influence ◽  
Social Media Use ◽  
The Public

Despite the expectation that social media use in the public sector contributes to enhancing government's transparency, few studies have been investigated whether social media use actually leads to more disclosure during environmental incidents in practice and how social media influence local governments and their officials' information disclosure. In this article, we model information disclosure during environmental incidents as an evolutionary game process between the central government and local government in social media context, and examine the internal mechanism that how social media influence the progress of information disclosure during environmental incidents. The findings indicate that social media plays an active constructive role in central-local government game relations. Specific- ally, social media can provides an efficient information channels for the central government supervise regional officials in environmental incidents, and thus improves its supervision efficiency, and it also provides an important means for internet mobilization and online-offline interaction by encouraging the public exchange information and express their views, and in turn forces local governments and their officials tend to disclosure ahead.

scholarly journals Does Whistleblowing Work for Air Pollution Control in China? A Study Based on Three-party Evolutionary Game Model under Incomplete Information

2019 ◽  
Vol 11 (2) ◽  
pp. 324 ◽  
Author(s):  
Yunpeng Yang ◽  
Weixin Yang
Keyword(s):  
Air Pollution ◽  
Local Government ◽  
Incomplete Information ◽  
Environmental Protection ◽  
Central Government ◽  
Replicator Dynamics ◽  
Evolutionary Game ◽  
Game Model ◽  
Government Officials ◽  
Local Government Officials

During China’s air pollution campaign, whistleblowing has become an important way for the central government to discover local environmental issues. The three parties involved in whistleblowing are: the central government environmental protection departments, the local government officials, and the whistleblowers. Based on these players, this paper has constructed an Evolutionary Game Model under incomplete information and introduced the expected return as well as replicator dynamics equations of various game agents based on analysis of the game agents, assumptions, and payoff functions of the model in order to study the strategic dynamic trend and stability of the evolutionary game model. Furthermore, this paper has conducted simulation experiments on the evolution of game agents’ behaviors by combining the constraints and replicator dynamics equations. The conclusions are: the central environmental protection departments are able to effectively improve the environmental awareness of local government officials by measures such as strengthening punishment on local governments that do not pay attention to pollution issues and lowering the cost of whistleblowing, thus nurturing a good governance and virtuous circle among the central environmental protection departments, local government officials, and whistleblowers. Based on the study above, this paper has provided policy recommendations in the conclusion.

scholarly journals Does Fiscal Decentralization Encourage Corruption in Local Governments? Evidence from Indonesia

2019 ◽  
Vol 12 (3) ◽  
pp. 118 ◽  
Author(s):  
Anisah Alfada
Keyword(s):  
Adverse Effects ◽  
Local Governments ◽  
Central Government ◽  
Fiscal Decentralization ◽  
Empirical Studies ◽  
Generalized Method Of Moments ◽  
Political Stability ◽  
Tax Revenue ◽  
Policy Recommendations ◽  
Level Government

This study examines the effects of fiscal decentralization on corruption by analyzing whether the degree of fiscal decentralization facilitates or mitigates the number of corruption cases in Indonesia’s local governments. The research utilizes a panel data model and a system Generalized Method of Moments (GMM) estimator to assess the degree of fiscal decentralization on corruption in 19 provinces for the period between 2004 and 2014. The estimation results reveal that the degree of fiscal decentralization, both expenditure and tax revenue sides, drives a growing number of corruption cases in local governments. A lack of human capital capacity, low transparency and accountability, and a higher dependency on intergovernmental grants from the central government may worsen the adverse effects of corruption. Our results suggest that a more heterogeneous population and higher political stability mitigate the adverse effects of corruption. Furthermore, this is the first corruption study in Indonesia to create corruption measures from the number of corruption cases investigated by the Indonesia Corruption Eradication Commission as well as extensive, provincial-level government financial data. As a result of using these different datasets, this research advances existing empirical studies and makes policy recommendations for the local governments in Indonesia.

Fiscal decentralization in Korea

2018 ◽  
Vol 7 (3) ◽  
pp. 279-290 ◽  
Author(s):  
Im Gon Cho
Keyword(s):  
Local Governments ◽  
Central Government ◽  
Fiscal Decentralization ◽  
National Government ◽  
Policy Recommendations ◽  
Content Type ◽  
Low Level ◽  
Local Taxes ◽  
Local Municipalities ◽  
High Level

Purpose The purpose of this paper is to make policy recommendations for the current fiscal decentralization discussion by examining the operating mechanisms of local taxes, unconditional grants, and conditional grants within the fiscal relationships between the national government and local governments in Korea. Design/methodology/approach After examining the current fiscal relationships between the national government and the local governments, this paper analyzes trends of local taxes, unconditional grants from both national and high-level local governments, and conditional grants from both national and high-level (or provincial level) local governments between 2002 and 2015. Local governments are classified into high-level local governments, and three types of low-level local governments are: si, kun, and ku. Findings Since the structure of local government finances in Korea is very complicatedly intertwined, the present decentralization discussion regarding increasing the share of local tax revenues may not achieve its purpose of fiscal decentralization. The authorities in charge of revenue allocation should be first decentralized at high-level local governments; high-level local governments should then arrange unconditional and conditional grants from high-level local governments to low-level local governments while taking into consideration unconditional and conditional grants from the national government to low-level governments. Originality/value The dichotomy between the central government and local municipalities has been utilized in the existing discussion regarding fiscal decentralization in Korea, but this study highlights the important resource allocation roles of high-level local governments.

scholarly journals Tripartite Evolutionary Game and Simulation Analysis of Coal Mining Safe Production Supervision under the Chinese Central Government’s Reward and Punishment Mechanism

2021 ◽  
Vol 2021 ◽  
pp. 1-17
Author(s):  
Kui Zhou ◽  
Qi Wang ◽  
Junnan Tang
Keyword(s):  
Coal Mining ◽  
Local Governments ◽  
Central Government ◽  
Simulation Analysis ◽  
Evolutionary Game ◽  
Rent Seeking ◽  
Economic Incentives ◽  
Safe Production ◽  
Punishment Mechanism ◽  
Reward And Punishment

In recent years, although coal mine accidents in China have decreased, they still occur frequently. Most previous studies on the evolutionary game of safety mining are limited to a focus on system dynamics and two-party game problems and lack a spatial graphic analysis of strategy evolution. The parameters adopted are too few, and the influencing factors considered are too simple. The purpose of the paper is to introduce more parameters to study which will have an important impact on the strategy choices of participants and the evolution path of the strategy over time. We construct a tripartite evolutionary game model of coal mining enterprises, local governments, and central governments. As our method, a payment matrix of participants and replicated dynamic equations is established, and we also implement parameter simulation in MATLAB. In summary, we found that the reward and punishment mechanism plays an important role in safe coal mining. Specifically, (1) intensifying rewards and penalties for coal mining enterprises and local governments will help encourage coal mining enterprises to implement safe production measures and local governments to implement central government safety supervision policies. However, increased rewards will reduce central government’s willingness to adopt incentive strategies. (2) The central government’s reward for coal mining enterprises’ safe production must be greater than the increased cost of safe production to encourage enterprises to implement such production. Economic incentives for local governments must be greater than the benefits of rent-seeking; only then will local governments choose to strictly implement supervision policies. (3) Increasing sales revenue and rent-seeking costs of coal mining enterprises can also encourage them to implement safe production. Therefore, a well-designed reward and punishment mechanism will change the behaviour of coal enterprises and improve the probability of safe production. The research presented in this paper further works on improving safe coal mining production and designing reasonable reward and punishment mechanisms.

scholarly journals The Role of Social Media in Promoting Information Disclosure on Environmental Incidents: An Evolutionary Game Theory Perspective

2018 ◽  
Vol 10 (12) ◽  
pp. 4372 ◽  
Author(s):  
Shan Gao ◽  
Shuang Ling ◽  
Wenhui Liu
Keyword(s):  
Social Media ◽  
Local Governments ◽  
Information Disclosure ◽  
Central Government ◽  
Evolutionary Game ◽  
Active Role ◽  
Regional Government ◽  
Local Officials ◽  
Efficient Information

In recent years, social media has had a crucial role in promoting governments to act more responsibly. However, few studies have investigated whether social media use actually leads to increased disclosure during environmental incidents, or how social media influences regional governments’ information disclosure, even though delayed and insufficient disclosure on relevant incidents is often widespread in China. In this article, we model information disclosure during environmental incidents as an evolutionary game process between the central government and local governments, and examine the role of social media on game participants’ strategy selections in the information disclosure game. The results indicate that social media plays an active role in promoting the regional government to proactively disclose information during environmental incidents through two mechanisms: the top–down intervention mechanism, and the bottom–up reputation mechanism. More specifically, social media can provide efficient information channels for the central government to supervise local officials’ limited disclosure during environmental incidents, essentially sharing the central government’s supervision costs, and thus improving its supervision and intervention efficiency. Social media helps focus the public’s attention on the limited disclosure of local officials in environmental incidents, and actively mobilizes citizens to protest to maintain their interests, placing considerable pressure on the reputation of local governments.

scholarly journals Game Analysis of Endowment Insurance Collection and Supervision Behavior under the Background of Price Reduction

2020 ◽  
Vol 7 (1) ◽  
pp. 131-152
Author(s):  
Jin Zhang
Keyword(s):  
Local Governments ◽  
Central Government ◽  
Action Plan ◽  
Compliance Rate ◽  
Evolutionary Game ◽  
Equilibrium Analysis ◽  
Endowment Insurance ◽  
Contribution Rate ◽  
Behavioral Decision ◽  
Symmetric Information

The Central government issued several consecutive articles stressing the need to reduce the contribution rate of endowment insurance and adjust the base of social security contributions. However, can we effectively improve the compliance rate of endowment insurance, and thus increase the actual collection income of endowment insurance through the reform of the fee reduction? What changes will be made to the behavioral decision-making methods among the various subjects, and will it affect the income from the collection of pensions? What kind of supervision is adopted by the central and local governments to promote the increase in the collection of endowment insurance? Based on these problems, this paper adopts the principal-agent game and the three-party evolutionary game model under non-completely symmetric information, analyzes the behavioral decisions of each subject in the process of collection after the fee reduction, and analyzes the influencing factors of dynamic stability and equilibrium. Analysis, and finally, in the context of the endowment insurance fee reduction, the action plan that can effectively increase the income of the endowment insurance collection. The empirical results show that the contribution rate and contribution base of endowment insurance are inversely related to the intensity of local endowment insurance collection, and the reduction of fees can effectively promote the enthusiasm of local governments for collection. When the burden of endowment insurance contributions declines, the enthusiasm of corporate payment has also increased. At the same time, improve the overall level of pensions, promote the openness and transparency of endowment insurance contributions, and strengthen the reward and punishment mechanism in the process of collecting endowment insurance premiums, which can effectively increase the income from endowment insurance collection.

scholarly journals Analysis of Farmland Abandonment and Government Supervision Traps in China

2021 ◽  
Vol 18 (4) ◽  
pp. 1815
Author(s):  
Yemei Li ◽  
Yanfei Shan ◽  
Ying Chen
Keyword(s):  
Food Security ◽  
Local Governments ◽  
Central Government ◽  
Rural Households ◽  
Evolutionary Game ◽  
Chinese Government ◽  
Security Risk ◽  
Farmland Abandonment ◽  
Government Supervision ◽  
The Government

Farmland abandonment has become relatively common in rural China. In the context of food security, the Chinese government has introduced policies for farmland abandonment supervision, but the effect of these policies has proven to be marginal. By constructing an evolutionary game model, our research explores the evolutionary logic during the supervision of farmland abandonment by governments and rural households. The results indicate that low food yield and high opportunity costs are the leading causes of farmland abandonment. The probable punishment administered by the central government for dereliction is a major motivation for the local government to practice farmland abandonment supervision. The low supervision avoidance cost for rural households leads local governments and households to form collaborations to jointly cope with central government supervision. When this occurs, local governments’ supervision of farmland abandonment falls into a trap, as it leads to continued supervision practices that are costly and ineffective. Food security risk comes from the contradictory population and land resources demands. To improve food security while managing these contradictory demands, it is both necessary and feasible for the government to control population growth and focus on farmland protection, whereas it is unnecessary and unfeasible for the government to supervise whether or not farmland should be abandoned.

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