Analysis on Corruption and Collusive Behaviors in Government Procurement in a Game Theory Perspective

Government Procurement is an important measure by which the government can guide economic development direction, protect and support national (or local) industry and implement macro-economic control. This paper analyzes corruption and collusive behaviors in government procurement practice in a Game Theory perspective. First, using Willenbrock¡¯s bidding model to analyze the rent-seeking behavior in government procurement. Second, using game model to analyze procurement officials¡¯ corruption and collusive behavior. Third, using game model to analyze suppliers¡¯ collusive behavior. Finally, this paper proposes some corresponding solutions in each part based on game model analysis.