Research On Profit Distribution Of PPP Project Based On Cooperative Game Theory

In recent years, with the acceleration of urbanization, local government debt has entered into peak period of growth. As a new way to resolute local government debt stress and ease fund shortage contradiction of urbanization, PPP model is highly regarded by the Government and the society. How to formulate reasonable and efficient allocation of PPP project interest to motivate partners becomes the focus of those researchers. This paper tries to explore the scientific and reasonable profit distribution scheme of PPP project, promotes PPP project participants negotiate scientifically, and provides reference for the government to price public goods and services or limits subsidies to the private sector, in order to promote the PPP model widely applied in China.Based on extensive reading of domestic and overseas literature related, firstly the essence, characteristics, effects and problems of PPP model are analyzed in the thesis and the main bodies of profit distribution is identified as the public sector(government) and private sector using the stakeholder theory. Then the cooperative foundation of PPP project stakeholders is put forward. Having summarized the previous method about the distribution of benefits, PPP project benefit allocation method is proposed based on cooperative game theory, and the Shapley value as the cooperative game solution in the thesis. Then, according to the characteristics of PPP model, two stage benefit distribution process are designed in the thesis, the principle and influence factors of profit distribution are put forward and the PPP project benefit allocation model is established based on cooperative game. What is worth mentioning is that, based on the classical Shapley value, it proposes the modified Shapley value after considering the factors influencing profit distribution, and the interval Shapley value after considering uncertainty. In the end, Beijing Metro Line 4 is taken as the case of empirical analysis to prove the validity and practicability of the model.The main feature of this article is that uncertainty is introduced into the profit distribution model on the basis of previous research, that the interval Shapley value method is proposed, that two stage process of interest distribution is designed which makes the model more suitable for practical application. The other side is empirical study. It differs from previous studies which only shows a simple example, cleverly constructs the amount of computation required using limited data, and tests the validity and practicability of the model, which has a certain reference value for future research and practice.