The Choice of the Methods of Engineering Contracts' Contracting and the Prevention of Speculative Behaviors

4th International Conference on Energy Equipment Science and Engineering

Guo, Feng^1 ; Xu, Dongming^1

Civil Engineering College, Henan University of Science and Technology, Luoyang, Henan

471000, China^1

关键词: Asset specificity;    Construction engineering;    Engineering constructions;    Engineering contracts;    Limited rationality;    Management ability;    Method of analysis;    New Institutional Economics;   

Others  :  https://iopscience.iop.org/article/10.1088/1755-1315/242/6/062071/pdf
DOI  :  10.1088/1755-1315/242/6/062071

来源: IOP

【 摘 要 】

For a long time, the choice of the methods of engineering contracts' contracting has mainly relied upon the method of Marginal Analysis which is the strong point of Classical Economics, and the feature of analysis is the fixed conditions and demands of engineering, and after comparing the costs of different methods of engineering outsourcing, the chief issue of saving costs is solved. When analyzing the speculations of the field of engineering construction like dishonesty etc, the Marginal Analysis has displayed conspicuous insufficiency. This may be relevant with the hypothesis of human behaviors of Marginal Analysis, however, sufficient consideration of human's limited rationality and speculative tendencies may come closer to the realistic engineering transaction activities. When considering the methods of engineering outsourcing, people need to pay attention to the management abilities of different methods of subcontracting regarding speculations and the effect of application of limited rationality. The delegate of New Institutional Economics, Williamson suggested a method of analysis, choosing the asset specificity, limited rationality and speculation as three important influencing factors when studying market and the problem of corporation signing the contracts, and proposed four contract models using different combinations of the above mentioned three factors in order to prevent speculative behaviors. This essay tries to apply this theory and referring to the transaction characteristics of Chinese construction engineering industry, a discussion has been presented about the influence of the ways of construction engineering contracting upon how to prevent the speculative behaviors of the contractors.