Evolutionary Game Analysis and Stability Control Scenarios of Corporate Environmental Behavior Inspection in China

Abstract

This paper explores the use of evolutionary game theory to describe the interactions between the stakeholders in China’s corporate environmental behavior inspection system, which includes the State Administration of the government, public participation, and enterprises in tripartite game model for environmental pollution control exist in the process on the basis of information asymmetry. The simulation results show that the strategy selections of the three stakeholders fluctuate repeatedly, which indicates that the evolutionary stable strategy does not exist in the current interactions between the stakeholders. Therefore, the dynamic penalty control scenario and an optimized dynamic penalty-incentive control scenario were proposed to control the fluctuations and then simulated again. And the simulation results indicated that the dynamic penalty control scenario can effectively restrain the fluctuations and make stakeholder interactions more stable. The analysis and results of this paper are to help decision-support for environmental governance.