Ecological Administration Contract Design for Enterprise and Local Government Based on Bottom-Line Thinking

Based on the perspective of ecological bottom-line thinking, government administration and corporate manufacturing are a new kind of cooperation instead of the relationship between cat and mouse. The corporate and the government are committed to sustainable economic development in the context of ecological and environmental protection. The ecological value preference parameters are introduced in the classic incentive contract model, and the improved incentive contract is constructed in the framework of ecological bottom-line and economic sustainable development thinking of government administration and corporate social responsibility, and the model equilibrium is analyzed. Finally, a numerical example is constructed to verify the correctness of the conclusion. The research results show that the introduction of ecological value preference parameters can effectively coordinate the interests of government and corporate, and control incentive costs; the ecological value preference of government and corporate, the marginal output of corporate and risk aversion will affect the change of incentive contracts.