Contract Theory and Incentive of Civil Servants

摘要

There are many forms of incentive methods for civil servants, but the faulty incentive mechanism will lead incentive methods to achieve unsatisfactory result. The reason for the arising of this situation can be explained from the point of view of contract theory. This paper uses the core ideology of contract theory to study the problem of incentive to the civil servants. It revealed that too much agency level in the process of contract execution, hard to distinguish ability type, unable to observe effort extent, less of evaluate techniques for achievement of civil servants, and moral hazard in multiple tasks and team task are those which cause inefficiency. To reduce the effects of these facts as much as possible, the incentive mechanism of civil Servants could adjust according to the thoughts of contract the-ory.(Abstract)